Using a two-sector endogenous growth model, this paper explores how productivity shocks in the goods and human capital … observed variation in these aggregates. We find that while neither of the workhorse growth models uniformly dominates the other … explaining the observed variation in investment and hours. -- endogenous growth ; human capital ; real business cycles ; Bayesian …

Employing an endogenous growth model with human capital, this paper explores how productivity shocks in the goods and …. Given the importance of accounting for both the dynamics and the trends in the data not captured by the theoretical growth … the endogenous growth model or the standard real business cycle model better explains the observed variation in these …