Table 3: Data sources and descriptions.

Variable name Definition and construction Source

GDP growth rate Percentage growth rate of real GDP per capita in constant prices. Reference year: 1996, Laspeyres index. Penn World Tables 6.3
GDP volatility Standard deviation of real GDP growth rate. Yearly series. Penn World Tables 6.3
Consumption volatility Standard deviation of real consumption growth rate (real GDP times consumption share of GDP). Yearly series. Penn World Tables 6.3
Investment volatility Standard deviation of real Investment growth rate (real GDP times investment share of GDP). Yearly series. Penn World Tables 6.3
Gov. consumption volatility Standard deviation of real public consumption growth rate (real GDP times government cons.share of GDP). Yearly series. Penn World Tables 6.3
Investment share of GDP Log level of the investment share of real GDP. Yearly series. Penn World Tables 6.3
Initial GDP Log level of GDP of the 1st year of the window of which the corresponding volatility is computed. Yearly series. Penn World Tables 6.3
Population growth rate Percentage growth rate of population. Yearly series. Penn World Tables 6.3
Education Logarithm of the percentage of secondary schooling attained in population aged 25 years and over. Barro-Lee dataset (2010)