The Middle-Income Transition around the Globe: Characteristics of Graduation and Slowdown

Abstract

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Quality standards, crime management and the efficiency of manufacturing firms in middle-income economies

“…The MIEs may present unique diversification opportunities to global investors, given their structural difference from the developed economies. Structurally, inadequate technological innovations, weak governance systems, low quality of institutions, macroeconomic volatility and less developed financial system characterise the MIEs (see; Kabir and Ahmed, 2019;Vandenberg et al, 2015;Su and Yao, 2017;Lin, 2017;Wang et al, 2021;Aizenman et al, 2018). The evidence from developed economies may therefore not apply to the MIEs.…”

The Role and Impact of Infrastructure in Middle-Income Countries:

“…Using probit analysis, Aiyar et al (2013) find that better infrastructure (measured by roads and telephone lines) lowers the risk of a growth slowdown in MICs. Examining differences in group means, Vandenberg, Poot, and Miyamoto (2015) find that middle-income economies tend to be weak in infrastructure (measured by roads, electricity, and phone lines) relative to high-income countries (HICs). And Han and Wei (2017), applying newly developed nonparametric classification techniques (conditional tree and random forest analysis), do not find any special role for infrastructure (measured by electricity, roads, and rail) in MICs in terms of separating fast-growing and slow-growing economies, although they do find that good transport infrastructure matters for low-income countries (LICs).…”