Obtaining reliable data on capital is a recurring challenge when estimating economy-wide productivity growth, especially for developing countries. In this paper I construct energy-based productivity series which use energy consumption instead of capital when making such estimates. I first show...

This paper shows that important insights for fiscal policy can be derived from Joseph Schumpeter's academic work. This concerns his fundamental distinction between theories in which the monetary sphere is identical with the real sphere ("real analysis"), and theories in which financial sphere is...

Friedman (1992) argues that regressing cross-country income changes on their final levels can be informative about [sgr]-convergence (the tendency for the dispersion of income levels to narrow) whereas a similar regression on initial levels of income cannot be. In this note we show that Bliss's...

Empirical data is presented suggesting that high private and, to a lesser extent, public debt levels place a strong drag upon economic growth. A simple, demand-based, cash flow (DBCF) model of the economy is developed, separating out flows by marginal propensity to spend. This approach is both...

This paper will create a dynamic economic model where the objective for the government is to maximize economic growth with respect to the available capital in the economy. The amount of capital in the economy is determined by the capitalists in the model which represent the micro foundation in...

Government usually tends to have two options. They can either pursue a tax revenue maximizing strategy or a growth maximizing strategy. The two approached do not necessarily go hand in hand. This paper derives and empirically estimates a simple laissez faire optimal taxation model from the...

In this study, we observe that the impact of inflation on economic growth is subject to significant changes as the inflation rate increases. Additionally, the nonlinear patterns of such effects vary significantly between industrialized and developing economies. Our findings reveal that...

Economic growth is ardently emphasized as a requisite underpinning not only for improving individual income, the standard of living, and a society's infrastructure, but also to attain equitable distribution of necessities, critical resources, and public goods such as education, healthcare, and...

The article critically studies the perception that individualistic cultures are more successful from the economic development point of view. The relation has been investigated between Hofstede's IDV dimension and two indicators of economic growth – GDP per capita in current prices and GDP per...

Tourism is one of the most important factors in the productivity of the Greek economy with significant multiplier effects on the country's economic activity. This study tests for the existence and direction of causality between output growth and tourism expenditure using a trivariate model with...