Authors: Sai Venkatesh Balasubramanian
The Annual Growth Rate of Gross Domestic Product of an economy is often seen as a key indicator to the economy’s growth and prosperity. In the present work, nonlinear analysis is performed on the GDP growth data of nations and supranational entities using two key tools, namely Averaged Lyapunov Exponent (ALE) and Distance Plot. The analyses ascertain the presence of chaos in the GDP growth rate data for both nations and supranational entities. Following this, some key inferences from the nonlinear analysis are presented, such as the high value of ALE obtained for fragile and conflict ridden economies, indicating the relationship between ALE and instability, the ALE analysis of BRICS nations as well as low ALE values of supranational entities such as OECD and EU. It is opined that the obtained results pave the way for unlocking a wealth of information regarding GDP growth rates ushering in a new era of ‘Smart Economics’.
Comments: 15 Pages.
[v1] 2015-10-27 21:25:25
Unique-IP document downloads: 45 times
Vixra.org is a pre-print repository rather than a journal. Articles hosted may not yet have been verified by peer-review and should be treated as preliminary. In particular, anything that appears to include financial or legal advice or proposed medical treatments should be treated with due caution. Vixra.org will not be responsible for any consequences of actions that result from any form of use of any documents on this website.
Add your own feedback and questions here:
You are equally welcome to be positive or negative about any paper but please be polite. If you are being critical you must mention at least one specific error, otherwise your comment will be deleted as unhelpful.