The results show that: (1) the Solowmodel including landelementalsohas a balancedgrowthpath; (2) thecontributionofland to economicgrowth in China is significantly11.
However, if we start to assume that the economy is on a balancedgrowthpath does that not imply that the Fed will start to weigh their options of winding down the addition policy accommodation that has been extended, i.e. the Quantitative Easing programme?
And, look, I think Secretary Geithner at the G20 finance ministers meeting talked about and got the cooperation of those throughout the world in seeking a path toward that balancedgrowth in the future.
The G-20 launched the Framework for Strong, Sustainable and BalancedGrowth in Pittsburgh in 2009 to promote the range of policy actions required to overcome the legacy of the 2007-08 financial crisis and put the global economy back on thepath of strong, sustainable and balanced economic growth and robust job creation.