This paper develops a two-sector model that illuminates the role played by agricultural modernization in the transition from stagnation to growth. When agriculture relies on traditional technology, industrial development reduces the relative price of industrial products, but has a limited effect...

The multi-sector model of economic growth is the most widely used framework for empirically investigating the effects of military spending on growth. It has also been applied to 'nonmilitary' sectors of the economy, such as exporters and the government. This paper presents a survey of criticisms...

This paper explores the role of complementarities and coordination failure in economic growth. We analyze the evolution composed of a countable set of infinitely-lived heterogenous industries. Individual industries exhibit nonconvexities in production and are linked across time through localized...