Purpose – The purpose of this paper is to present three modified versions of the simple AK endogenous growth model. Design/methodology/approach – Such frameworks stress the role of consumers' sentiment, the impact of fiscal policy and the effect of non‐optimal investment decisions made by...

Purpose – The purpose of this paper is to develop growth models that depart from the conventional framework, in the sense that consumption decisions take into account previous periods' expectations about output fluctuations. Households will raise their propensity to consume in periods of...

Purpose – The purpose of this paper is to explain how eventual pressures from national lobbies may lead governments to shift from an optimal into a non‐optimal innovation policy. Design/methodology/approach – A theoretical model is developed in order to examine and explain the growth and...

Purpose – The purpose of this paper is to study the growth dynamics in a model where labor productivity is shaped by two forces. On one hand, it is determined by the extent in which available technology has been already explored. On the other hand, some labor skills may become obsolete,...

Purpose – The purpose of this paper is to study the behavior of a worker within an organization. There are two groups inside the firm that develop their work in different ways (sharing different codes). The worker will choose to converge to one of those groups, through an investment in...

Purpose – Recent literature has been able to include into standard optimal growth models some hypotheses that allow for the generation of endogenous long‐run fluctuations. This paper aims to contribute to this endogenous business cycles literature by considering social interactions....

Purpose – The purpose of this paper is to discuss the valuation of human needs within a given hierarchy. An important distinction is made between private utility and social relevance of needs. Design/methodology/approach – The authors consider a generic hierarchy of needs in a world of...

Purpose – The purpose of the paper is to present an integrated approach concerning intertemporal choices and the location of economic activity under a simple endogenous growth model. The idea is that time analysis concerning the choices about present and future consumption and the choices on...

Purpose – This paper seeks to explain how inefficient learning rules may lead to a perception of economic and ecological realities that may be systematically distorted in the long run. Design/methodology/approach – The paper evaluates long‐term growth in standard growth‐pollution models....