Showing 1 - 10 of 15
We study a dynamic general equilibrium model where innovation takes the form of the introduction of new goods whose production requires skilled workers. Innovation is followed by a costly process of standardization, whereby these new goods are adapted to be produced using unskilled labor. Our...
Persistent link: https://www.econbiz.de/10010849616
We study a dynamic model where growth requires both long-term investment and the selection of talented managers. When ability is not ex-ante observable and contracts are incomplete, managerial selection imposes a cost, as managers facing the risk of being replaced choose a sub-optimally low...
Persistent link: https://www.econbiz.de/10010849627
We find that trade and domestic market size are robust determinants of economic growth over the 1960-1996 period when trade openness is measured as the US dollar value of imports and exports relative to GDP in PPP US$ ('real openness'). When trade openness is measured as the US dollar value of...
Persistent link: https://www.econbiz.de/10005248470
The financial revolution improved the British government’s ability to borrow, and thus its ability to wage war. North andWeingast argued that it also permitted private parties to borrow more cheaply and widely.We test these inferences with evidence from a London bank.We confirm that private...
Persistent link: https://www.econbiz.de/10005704946
Climate science indicates that climate stabilization requires low GHG emissions. Is this consistent with nondecreasing human welfare? Our welfare or utility index emphasizes education, knowledge, and the environment. We construct and calibrate a multigenerational model with intertemporal links...
Persistent link: https://www.econbiz.de/10005708011
Why was England first? And why Europe? We present a probabilistic model that builds on big-push models by Murphy, Shleifer and Vishny (1989), combined with hierarchical preferences. The interaction of exogenous demographic factors (in particular the English low-pressure variant of the European...
Persistent link: https://www.econbiz.de/10005772100
This paper studies the dynamic relationship between distribution and endogenous growth in an overlapping generations model with accumulation of human and physical capital. It is shown how human capital can determine a relationship between per capita growth rates and inequality in the...
Persistent link: https://www.econbiz.de/10005772128
Some natural resources—oil and minerals in particular—exert a negative and nonlinear impact on growth via their deleterious impact on institutional quality. We show this result to be very robust. The Nigerian experience provides telling confirmation of this aspect of natural resources. Waste...
Persistent link: https://www.econbiz.de/10005772190
We estimate the world distribution of income by integrating individual income distributions for 125 countries between 1970 and 1998. We estimate poverty rates and headcounts by integrating the density function below the $1/day and $2/day poverty lines. We find that poverty rates decline...
Persistent link: https://www.econbiz.de/10005772340
We investigate the impact of 20th--century European colonization on growth in Africa. We find that in the 1960--88 period growth has been faster for dependencies than for colonies; for British and French colonies than for Portuguese, Belgian and Italian ones; and for countries with less economic...
Persistent link: https://www.econbiz.de/10005772408