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the so-called "Growth Disease", i.e., the tendency of aggregate productivity growth to slow down in the process of … service sector may raise rather than lower aggregate productivity growth if the service industries produce intermediate rather … raised or lowered aggregate productivity growth in the G7 countries. …
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The neoclassical growth model assumes fixed labor supply and competitive labor markets. Is it harmless to ignore monopsonistic power in the neoclassical growth model? The paper argues that it is not, especially if a growth model needs to be consistent with the long-run dynamics of the labor...
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