This paper explores the relationship between aggregate and relative congestion, returns to scale and economic growth …. Aggregate congestion reduces the effective productivity of capital; relative congestion reduces the effective productivity of … labour. Both forms of congestion adversely affect the equilibrium growth rate, although their relative effects depend upon …

This paper explores the relationship between aggregate and relative congestion, returns to scale and economic growth …. Aggregate congestion reduces the effective productivity of capital; relative congestion reduces the effective productivity of … labour. Both forms of congestion adversely affect the equilibrium growth rate, although their relative effects dependupon …