Education is added to the standard Neoclassical growth model by calibrating a human capital technology to the empirical evidence on schooling. Simulation experiments patterned after King and Rebelo (1993 American Economic Review 83, 908--931) are conducted. When agents act as if they are...

Fractious domestic politics are at the root of continued poverty in some developing countries and pose a dilemma for donors and international financial institutions. This paper examines the effects of foreign assistance in countries with plentiful investment opportunities when interest groups...

One of the major concerns associated with school voucher proposals is that they will only benefit those who leave public schools in favor of private schools. The children left behind in public schools are expected to necessarily be made worse-off by such policies. This paper provides evidence...

This textbook is an introduction to the newer features of growth theory that are particularly useful in examining the issues of economic development. Growth theory provides a rich and versatile analytical framework through which fundamental questions about economic development can be examined....

Intro -- Contents -- I. INTRODUCTION -- II. RELATED LITERATURE -- III. THE MODEL -- IV. CROSS- COUNTRY INCOME DIFFERENCES -- V. POLICY EXPERIMENTS -- VI. THE AID COST OF REFORM -- VII. AID FAILURES -- VIII. CONCLUSION -- REFERENCES -- A. Optimal Fiscal Policy in a Closed Economy -- B. Optimal...

This paper presents a quantitative theory of development that highlights three mechanisms that relate schooling, fertility, and growth. First, we point out that in the early stages of development, fertility and schooling may rise together as the schooling of younger children increases their...