Unanticipated changes in demand fail to explain real income growth worldwide.
The article looks at how changes in factors like government spending and exports affect a country's real income growth. The researchers used data from several countries to see if these changes can predict real income growth. They found that, except for the United States, unexpected changes in these factors don't explain real income growth well. This suggests that more investigation is needed before relying on this approach to predict real income growth.