OECD Economics Department Working Papers

ISSN :
1815-1973 (online)
DOI :
10.1787/18151973
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Working papers from the Economics Department of the OECD that cover the full range of the Department’s work including the economic situation, policy analysis and projections; fiscal policy, public expenditure and taxation; and structural issues including ageing, growth and productivity, migration, environment, human capital, housing, trade and investment, labour markets, regulatory reform, competition, health, and other issues.
 

Promoting Potential Growth

The Role of Structural Reform You or your institution have access to this content

Authors:
Luiz de Mello, Pier Carlo Padoan1
Author Affiliations
  • 1: OECD, France

Publication Date
20 July 2010
Bibliographic information
No.:
793
Pages
29
DOI
10.1787/5kmbm6rz4dg6-en

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The global crisis has left many G20 countries with an unenviable legacy of lower potential output and high government indebtedness. Global imbalances, which had narrowed during the recession, are now beginning to widen again, as the recovery takes hold. Structural reform will be needed not only to recover the crisis-driven output loss and to maintain it in the longer term, but also to put the public finances back on a sustainable path and to rebalance global growth. To contribute to the policy debate, this paper summarises the analysis carried out by the OECD on the effects of a host of structural reforms on GDP growth, public finances and external current account balances.
Keywords:
potential output, global imbalances, structural reforms
JEL Classification:
  • F30: International Economics / International Finance / General
  • J8: Labor and Demographic Economics / Labor Standards: National and International
  • O40: Economic Development, Technological Change, and Growth / Economic Growth and Aggregate Productivity / General