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We develop a quantitative theory of human capital with heterogeneous agents in order to assess the sources of cross … capital technology. We then assess the model's ability to explain the cross-country data. Our quantitative model generates a … amplified through physical and human capital accumulation to generate a factor of 20 difference in output per worker --- as …
Persistent link: https://www.econbiz.de/10013096877
This paper investigates how the sector-specific source or the changing sectoral composition of labor productivity has contributed to β-convergence, using a newly constructed eight-sector database. The main findings are twofold. First, both within and sectoral reallocation have become important...
Persistent link: https://www.econbiz.de/10013293401
This paper investigates how the sector-specific source or the changing sectoral composition of labor productivity has contributed to β-convergence, using a newly constructed eightsector database. The main findings are twofold. First, both within and sectoral reallocation have become important...
Persistent link: https://www.econbiz.de/10013172488
The paper considers the transformation of the political system as countries pass through the Grand Transition from a poor developing country to a wealthy developed country. In the process most countries change from an authoritarian to a democratic political system. This is shown by using the...
Persistent link: https://www.econbiz.de/10003764598
The aim of this paper is to provide comprehensive empirical evidence on the relationship between international remittances and income inequality. In simple cross-country regressions we find a non-monotonic link between these two variables when using ordinary least squares, instrumental...
Persistent link: https://www.econbiz.de/10003774569
Today's labor-scarce economies have open trade and closed immigration policies, while a century ago they had just the opposite, open immigration and closed trade policies. Why the inverse policy correlation, and why has it persisted for almost two centuries? This paper seeks answers to this dual...
Persistent link: https://www.econbiz.de/10003328062
Long-run development (in income) causes a large fall in the share of agriculture commonly known as the agricultural transition. We confirm that this conventional wisdom is strongly supported by the data. Long-run development (in income) also causes a large increase in democracy known as the...
Persistent link: https://www.econbiz.de/10003838434
This paper examines the effect of global transition to simpler, flatter income tax systems on the size of the shadow economy. By offering a new estimation framework, the paper revives the traditional electricity consumption approach to measuring the shadow economy. It overcomes the limitations...
Persistent link: https://www.econbiz.de/10003860712
In this paper we use a panel of 189 countries to describe the salient trends that have emerged in national personal income tax systems spanning the twenty five year period from 1981 to 2005. Using complete national income tax schedules, we calculate actual average and marginal tax rates at...
Persistent link: https://www.econbiz.de/10003863164
This paper constructs a Global Entrepreneurship Index (GEINDEX) that captures the contextual feature of entrepreneurship across countries. We find the relationship between entrepreneurship and economic development to be mildly S-shaped not U-shaped or L-shaped. Our findings suggest moving away...
Persistent link: https://www.econbiz.de/10003824122