Progressive taxes, equity, and human capital accumulation in an endogenous growth model with overlapping generations

Semi-endogenous growth model emphasizes human capital accumulation and technological advances in supporting economic growth. While most countries in the world lack the ability to accumulate their human capital and advance in technology, the privilege of research and development lies on part of developed nations. The increase in the stock of knowledge can come from different interactions with other countries in the world. But the crucial point to make is what underlies these differences among nations in the world. This study modifies Jones model by embedding characteristics that different countries in the world. Such an attempt is directed to produce a more general model of semi-endogenous growth to be applicable to all countries in the world. The end result of this study is to present a more general model that will be easily applicable to different countries in the world.

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Service Good as an Intermediate Input and Optimal Government Policy in an Endogenous Growth Model

South Asian Journal of Macroeconomics and Public Finance ◽

10.1177/2277978719837043 ◽

2019 ◽

Vol 8 (1) ◽

pp. 57-91

Author(s):

Senjuti Gupta ◽

Bidisha Chakraborty ◽

Tanmoyee Banerjee (Chatterjee)

Keyword(s):

Growth Rate ◽

Human Capital ◽

Endogenous Growth ◽

Growth Model ◽

Capital Accumulation ◽

Stable Steady State ◽

Command Economy ◽

Tax Rate ◽

Endogenous Growth Model ◽

Competitive Economy

The present article considers an endogenous growth model in which the service output is used as intermediate good in commodity sector, tax is imposed on manufacturing product and the revenue earned is invested to create human capital. It is shown that there exists a unique, saddle path stable steady-state growth rate of human capital accumulation and a unique growth-maximizing tax rate. The optimal tax rate for the command economy is compared with growth-maximizing tax rate in competitive economy. A numerical analysis shows that the command economy will have a higher growth rate than the competitive economy. An extension of the model where households privately spend for accumulation of human capital yields the same growth rate as that of the command economy of the previous model. JEL Classification: E6, H2, O4

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PHASES OF ECONOMIC DEVELOPMENT IN AN ENDOGENOUS GROWTH MODEL WITH INNOVATION AND EDUCATION

Oradea Journal of Business and Economics ◽

10.47535/1991ojbe131 ◽

2021 ◽

pp. 78-87

Author(s):

Ibtissem Aribi ◽

Lobna Ben Hassen

Keyword(s):

Human Capital ◽

Endogenous Growth ◽

Growth Model ◽

Capital Accumulation ◽

Physical Capital ◽

Third Phase ◽

Long Run ◽

Support For Innovation ◽

Endogenous Growth Model ◽

Main Engine

This paper analyzes the transitional dynamics of an endogenous growth model with physical capital, human capital and R&D in which both human capital and innovation drives long run growth. The model suggests that the developing economy follows different stages of development. The first phase is characterized by physical capital accumulation. At the second stage, human capital accumulation represents the main engine of long run growth. The third phase is identified by an increasing variety of intermediate good originating from innovation. However, innovation is not assured for poor economies. In this case, permanent support for innovation can lead a sustainable exit from poverty trap.

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ENDOGENOUS GROWTH MODEL WITH HUMAN CAPITAL ON THE CIRCLE

СИСТЕМЫ УПРАВЛЕНИЯ И ИНФОРМАЦИОННЫЕ ТЕХНОЛОГИИ ◽

10.36622/vstu.2020.69.11.001 ◽

2020 ◽

pp. 4-9

Author(s):

А.В. Королев

Keyword(s):

Human Capital ◽

Spatial Structure ◽

Endogenous Growth ◽

Explicit Form ◽

Growth Model ◽

Main Attention ◽

Endogenous Growth Model ◽

Central Plan ◽

Special Case

В статье рассматривается модель эндогенного роста с человеческим капи-талом на простой пространственной структуре (окружности). Особое вни-мание уделено специальному случаю - комбинации параметров, при кото-рой удаётся получить решение задачи центрального планировщика на окружности в явном виде, что другим авторам не удавалось. In this article the endogenous growth model with human capital on the simple spatial structure (the circle) is considered. We pay main attention to a special case of a combination of parameters for which we were able to solve the central plan-ner problem on the circle in an explicit form, which other authors did not suc-ceed to do.

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