Contents of this document: 1. Bibliography of articles by Sachs and Warner. 2. Descriptions of data used in Sachs and Warner (1997a, 1997b, 1995a, 1995b). 3. Additional references. 1. Bibliography of joint papers by Jeffrey D. Sachs and Andrew M. Warner 1. Jeffrey D. Sachs and Andrew M. Warner, (1997b) "Fundamental Source of Long-Run Growth", American Economic Review, Papers and Proceedings, May 1997. 2. ________ (1995b) "Natural Resource Abundance and Economic Growth", Harvard Institute for International Development, Development Discussion Paper No 517, October 1995, and NBER working paper No. 5398, December 1995. 3. ________ (1995a) "Economic Reform and the Process of Global Integration", Brookings Papers on Economic Activity, 1995:1, pp. 1-118. 4. ________ (1997a) "Sources of Slow Growth in African Economies", Journal of African Economies, 6(3), October, 335-376. 5. ________ (1996c) "Achieving Rapid Growth in the Transition Economies", Harvard Institute for International Development, January 1996, and Working paper No. 116, Stockholm Institute for East European Economies, November 1996. 6. ________ (1996a) "Why Competitiveness Counts" The Global Competitiveness Report 1996, Geneva: World Economic Forum, 1996. 7. ________ (1996b) "The Social Welfare State and Competitiveness" The Global Competitiveness Report 1996, Geneva: World Economic Forum, 1996. 8. Jeffrey D. Sachs, Tianlun Jian, and Andrew M. Warner (1996d) "Trends in Regional Inequality in China", China Economic Review, April 1996. 2. Descriptions of data used in Sachs and Warner (1997a, 1997b, 1995a, 1995b). This is a description of the data used recently in Sachs and Warner (1997a) and (1997b). The OPEN6590 variable is a slightly revised version of the variable used in Sachs and Warner (1995a) and the SXP variable is an updated and revised version of the SXP variable used in Sachs and Warner (1995b). The data are contained in an accompanying spreadsheet named sachs.csv. SHCODE6 Summers-Heston identifying code. SSAFRICA Dummy variable for sub-Saharan Africa. LGDPEA65 Natural log of real (purchasing power parity adjusted) GDP per economically active population in 1970. GDP data are from the Penn World Tables, Mark 5.6, (see Summers and Heston 1981) and are in constant 1985 international prices. The economically active population is defined as the population between the ages 15-64 and is taken from the World Data CD-ROM, 1995, World Bank. GR6590 Average annual growth in real GDP per economically active population between 1970 and 1989. Based on the same sources as LGDPEA70. OPEN6590 The fraction of years during the period 1965-1990 in which the country is rated as an open economy according to the criteria in Sachs and Warner [1995]. An economy is deemed to be open to trade if it satisfies four tests: (1) average tariff rates below 40 percent; (2) average quota and licensing coverage of imports of less than 40 percent; (3) a black market exchange rate premium that averaged less than 20 percent during the decade of the 1970s and 1980s; and (4) no extreme controls (taxes, quotas, state monopolies) on exports. OPENY OPEN6590 * LGDPEA65 SXP Share of exports of primary products in GNP in 1970. Primary products or natural resource exports are exports of "fuels" and "non-fuel primary products" from the World Data 1995 CD-ROM disk, produced by the World Bank. Non-fuel primary products correspond to SITC categories 0, 1, 2, 4, and 68. Fuels correspond to SITC category 3. These categories are from revision 1 of the SITC. GNP is taken from the same source. Both numerator and denominator are measured in nominal dollars. The World Data uses a smoothed exchange rate to convert local currency GNP to dollars. This describes the basic data. In addition, we made the following modifications. Bangladesh: 1975 data. Bahrain: 1980 data. Botswana: Exports of Diamonds in 1970 taken from Modise (1996). Cape Verde: export data for 1972 taken from World Tables 1994, World Bank; GNP data taken from the World Data 1995 CD-ROM disk. China: 1980 data. Cyprus: 1975 data. Jordan 1985 data. Iran: GNP in 1970 calculated with data in the Penn World Tables, mark 5.6 together with price and exchange rate data in the World Data 1995 CD-ROM disk. Myanmar: 1970 GNP converted to dollars by the authors using the 1970 nominal exchange rate. Taiwan: Exports taken from Taiwan Statistical Data Book 1995, page 194 and GNP taken from 1996 volume, page 1. Uganda: 1980 data. South Africa: the published trade statistics do not include raw diamonds and gold, so these were added by the authors using data in Bulletin of Statistics, The Republic of South Africa, Pretoria, December 1972 and June 1992. Singapore: used netexports of natural resources because Singapore simply re-exports a lot of natural resources which originate elsewhere. Trinidad: used net exports for the same reason as Singapore. United Arab Emirates: 1973 data. Zimbabwe: 1980 data. ACCESS Physical access to international waters is measured by our land-locked variable. A country that borders the ocean (a "coastal economy") and that has a container port is given a value of 0, reflecting complete access to international shipping. A landlocked country without navigable access to the sea via rivers is given a value of 1. TROPICS Tropical climate is measured by a variable that takes the value 1 for a country in which the entire land area is subject to a tropical climate, and 0 for a country with no land area subject to a tropical climate. Countries in between these two extremes are assigned a fraction representing the approximate proportion of land area subject to a tropical climate. LIFE Log of life expectancy at birth, circa 1965-1970. Source: World Data CD-ROM, 1995, World Bank. LIFE2 LIFE squared. CGB7090 Central government savings is measured as current revenues minus current expenditures of the central government, expressed as a fraction of GDP. It would be preferable to use savings of the consolidated government, including local government and the savings of public enterprises and off-budget entities, but these data are not available for a sufficient number of countries. These data are taken from the World Data CD-ROM, 1995, World Bank. ICRGE80 This is a general institutional quality index, that is an average of 5 sub-indexes, each based on survey data from Political Risk Services, measuring the following. The rule of law index "reflects the degree to which the citizens of a country are willing to accept the established institutions to make and implement laws and adjudicate disputes" The bureaucratic quality index measures "autonomy from political pressure", and "strength and expertise to govern without drastic changes in policy or interruptions in government services." The corruption in governmentindex measures whether "illegal payments are generally expected throughout .. government", in the form of "bribes connected with import and export licenses, exchange controls, tax assessments, police protection, or loans." The risk of expropriation index measures high risk of "outright confiscation" or "forced nationalization." The government repudiation of contracts index measures the "risk of a modification in a contract taking the form of a repudiation, postponement or scaling down." These five sub-indexes are scaled and averaged together into our overall institutional quality index. We don't use these indexes separately because the country scores on the various sub-indexes tend to be highly correlated. As a result, the data do not permit a sharp distinction between these five elements of institutional quality. G7089N This variable measures growth of neighboring countries. It was derived by first calculating aggregate GDP per-capita, measured in purchasing-power-adjusted dollars, of all countries that border a given country. Standard growth rates were then calculated from the aggregate GDP per-capita of this group of counties between 1970 and 1989. This variables offers a way to test for the extent of neighborhood effects on growth. ETHLING This is a measure of ethno-linguistic fractionalization taken from related work by Mauro (1995) and Easterly and Levine (1996). The data is ultimately based on Taylor and Hudson (1972). This variable measures the probability that two randomly-selected people from a country will not belong to the same ethnic or linguistic group. GEAPPOP This measures the difference between the growth rate of the economically active population (between ages 15 and 65) and growth of total population. Countries will have a higher per-capita growth simply if the working population is growing faster than the whole population. This variable is a control for purely demographic influences on measured growth. SAVY7089 Average national saving 1970-89. INFL6590 Average inflation 1965-90. 3. Additional references for the data section. Easterly, William and Ross Levine, "Africa's Growth Tragedy: Policies and Ethnic Divisions" mimeo, The World Bank, April 1996. Mauro, P. "Corruption and Growth." The Quarterly Journal of Economics, Volume CX, Issue 3, pp. 681-712, August, 1995. Modise, D. Modise, "Managing Mineral Revenues in Botswana", paper presented to the UNCTAD group of experts on development policy for Resource-based economies, Geneva, November 1996. South Africa. Dept. of Statistics. Bulletin of statistics. Various issues. Pretoria: Dept. of Statistics, 1967-. Summers, Robert and Alan Heston, "The Penn World Table (Mark 5): An Expanded set of international comparisons, 1950-1988" Quarterly Journal of Economics, May 1991. 106 (2), pp. 327-68. Taiwan statistical data book. Various issues. Taipei. Taylor, Charles Lewis, and Michael C. Hudson. 1972. World Handbook of Political and Social Indicators. 2nd. Ed. New Haven: Yale University Press.