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It is well known that the performance of simple models of economic growth improves substantially through the introduction of subsistence consumption. How to compute subsistence needs, however, is a difficult and controversially discussed issue. Here, I reconsider the linear (Ak) growth model...
Persistent link: https://www.econbiz.de/10003748086
This study constructs a simple, two-sector Malthusian model with agriculture and industry, and use it to identify the determinants of subsistence income. We make standard assumptions about preferences and production technology, but by contrast to existing studies we assume that children and...
Persistent link: https://www.econbiz.de/10003857649
Persistent link: https://www.econbiz.de/10008697590
Persistent link: https://www.econbiz.de/10009411926