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THE COMMENT BY EDWARDS AND MCGUIRK (2004) HAS numerous significant flaws. These include: (1) an incomplete understanding of the paper by Chang and Ram (2000), (2) lack of familiarity with development data sets and the vast literature on cross-country studies of inequality and growth, and (3) an inadequate grasp of the basics of econometric model specification and the elementary principles of generating predicted values from regression estimates. We first briefly note a few aspects that might not be considered major, and then explain the fatal flaw that renders its main conclusion inaccurate.
This article is a response to Kuznets Curveball: Missing the Regional Strike Zone by Jeffrey Edwards and Anya McGuirk (EJW, August 2004).
Response to this article by Jeffrey Edwards and Anya McGuirk: Reply to Chang and Ram: Statistical Adequacy and the Reliability of Inference (EJW, August 2004).