This paper presents a model in which a high growth economy becomes susceptible to a sudden financial crisis. In the model firms are motivated to over-invest because of government subsidies and then bear the burden of the inefficiencies caused by the government distortion. We assume that the...

This paper provides a detailed characterisation of the structure and behaviour of African factor markets and the institutions that impact on their operations. It shows that the African factor markets are imperfect and inefficient, thus constraining economic growth. The paper posits that for the...

The correlation between health and economic performance is extremely robust across communities and over time. Many factors exogenous to income play an important role in determining health status, including a number of geographical, environmental, and evolutionary factors. This suggests the...

This paper presents a theoretical model to analyze the effects of technology change on growth rates of income and human capital. We set up an overlapping generations model in which young agents invest in both width and depth of human capital in order to adopt new technologies. The model develops...

This paper surveys the microeconomic evidence on the determinants of and returns to education and health in sub-Saharan Africa. A year of education is associated with 3-14% increases wages and productivity. The introduction or removal of user fees can have dramatic effects on take-up of health...

Using a newly constructed data panel on U.S. locality attributes, this paper sketches four sets of empirical facts on economic growth across U.S. counties. A first set of facts focuses on the time series and cross-correlation properties of local economic growth as measured by net migration, per...

Geographic information systems (GIS) data was used on a global scale to examine the relationship between climate (ecozones), water navigability, and economic development in terms of GDP per capita. GDP per capita and the spatial density of economic activity measured as GDP per km2 are high in...

Following up the empirical works of Jones (1995a,b) that reject two classes of the major endogenous growth models: the AK models and R&D based models, the paper tests the third class of endogenous growth models that generate endogenous evolution in division of labor against empirical data. It is...

This paper introduces job-shifting costs and durable producer goods into a framework with consumer-producers, economies of specialized learning by doing and transaction costs, developed by Yang and Borland [1991] to explore the intimate relationship among the following three phenomena...