Review of world economic growth over 2000 years

Abstract

Economic growth has attracted many economists because a small difference in growth rates can make a huge difference in prosperity in the long run. By looking at data on world economic growth over 2000 years, the following observations are made. Firstly, the world as a whole had been fairly poor until recently. Rapid growth only took place in the last two hundred years. Secondly, a small difference in growth rates can make a huge difference in prosperity in the long run (e.g., Western Europe over the period 1000-1820). Thirdly, catching up between developing countries and rich countries is very difficult. In the last 200 years, since 1820, the ranking of prosperity by regions has not changed, except for Japan. Most countries have lagged further behind the West. Fourth, rapid economic growth over the long run is rather difficult. Only a few countries could manage to achieve the growth rate of per capita GDP over 4.0% per year for continuous 40-50 years. For Vietnam, the implication is that Vietnam should not push for rapid economic growth at all costs. The more important thing is stable economic growth for the long run rather than short-run fast economic growth.

Keywords

• tăng trưởng kinh tế
• kinh tế thế giới
• lịch sử kinh tế