01668cas a2200241 a 4500 AALejournalIMF013658 230101c9999 xx r poo 0 0eng d 5.00 USD 9781484322208 1018-5941 BD-DhAAL BD-DhAAL Johnson, Christian. Potential Output and Output Gap in Central America, Panama and Dominican Republic / Christian Johnson. Washington, D.C. : International Monetary Fund, 2013. 1 online resource (42 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Potential Output is a key factor for debt sustaintability analysis and for developing strategies for growth, but unfortunately it is an unobservable variable. Using three methodologies (production function, switching, and state-space), this paper computes potential output for CAPDR countries using annual data. Main findings are: i) CAPDR potential growth is about 4.4 percent while output gap volatility is about 1.9 percent; ii) The highest-potential growth country is Panama (6.5 percent) while the lowest-growth country is El Salvador (2.6 percent); iii) CAPDR business cycle is about eigth years. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2013/145 Full text available on IMF http://elibrary.imf.org/view/journals/001/2013/145/001.2013.issue-145-en.xml IMF e-Library