Measuring Economic Growth and Productivity

Chapter 4

Sources of growth in the world economy: a comparison of G7 and E7 economies

Khuong M. Vu      National University of Singapore, Singapore

Abstract

This chapter analyzes the economic performance of seven emerging (E7) economies—China, India, Indonesia, Brazil, Mexico, Turkey, and South Korea, in comparison with the G7 economies, examining their sources of growth and catch-up performance during 2000–17 and projecting their growth in the succeeding decade, 2017–27. The findings include: (i) E7 has far surpassed G7 in the share of world gross domestic product (GDP) and contribution to world economic growth, with China and India outperforming the United States on the latter measure; (ii) capital accumulation exceeds total factor ...