Endogenous Growth or “Big Bang”: Two views of the First Industrial Revolution

1997 ◽  
Vol 57 (4) ◽  
pp. 935-949 ◽  
Author(s):  
David Greasley ◽  
Les Oxley
Keyword(s):  
Economic Development ◽  
Technological Progress ◽  
Industrial Revolution ◽  
Theoretical Perspective ◽  
Big Bang ◽  
Growth Theory ◽  
Historical Records ◽  
Per Capita ◽  
Crucial Part ◽  
Empirical Record

The return of growth theory to center stage in mainstream economics provides opportunities for historians to reconsider the forces shaping longer-term economic development. A key motivation for developing new growth modeling strategies lay in the desire to reestablish contact between theory and the empirics of economic growth. By postulating diminishing returns to capital, the traditional neoclassical paradigm precludes the sustaining of per capita growth in the absence of exogenous technological progress. Since historical records of economic development offer scant evidence for declining per capita growth, disenchantment grew with a theoretical perspective that leaves the crucial part of the empirical record unexplained, prompting a search for alternative modeling strategies.

HOW CHILD COSTS AND SURVIVAL SHAPED THE INDUSTRIAL REVOLUTION AND THE DEMOGRAPHIC TRANSITION

2012 ◽  
Vol 18 (1) ◽  
pp. 114-144 ◽  
Author(s):  
Holger Strulik ◽  
Jacob Weisdorf
Keyword(s):  
Child Mortality ◽  
Technological Progress ◽  
Industrial Revolution ◽  
Demographic Variables ◽  
Growth Theory ◽  
Industrialized Countries ◽  
Fertility Rates ◽  
Demographic Transitions ◽  
High Degree ◽  
Net Reproduction

This study provides a unified growth theory to correctly predict the initially negative and subsequently positive relationship between child mortality and net reproduction observed in industrialized countries over the course of their demographic transitions. The model captures the intricate interplay between technological progress, mortality, fertility, and economic growth in the transition from Malthusian stagnation to modern growth. It not only provides an explanation for the demographic observation that fertility rates response with a delay to lower child mortality, but also identifies a number of turning points over the course of development, suggesting a high degree of complexity in the relationships between various economic and demographic variables.

scholarly journals Clans, Guilds, and Markets: Apprenticeship Institutions and Growth in the Preindustrial Economy*

2017 ◽  
Vol 133 (1) ◽  
pp. 1-70 ◽  
Author(s):  
David de la Croix ◽  
Matthias Doepke ◽  
Joel Mokyr
Keyword(s):  
Tacit Knowledge ◽  
Technological Progress ◽  
Western Europe ◽  
Industrial Revolution ◽  
Transmission Of Knowledge ◽  
Extended Families ◽  
European Institutions ◽  
The Family ◽  
Per Capita ◽  
Other World

AbstractIn the centuries leading up to the Industrial Revolution, Western Europe gradually pulled ahead of other world regions in terms of technological creativity, population growth, and income per capita. We argue that superior institutions for the creation and dissemination of productive knowledge help explain the European advantage. We build a model of technological progress in a preindustrial economy that emphasizes the person-to-person transmission of tacit knowledge. The young learn as apprentices from the old. Institutions such as the family, the clan, the guild, and the market organize who learns from whom. We argue that medieval European institutions such as guilds, and specific features such as journeymanship, can explain the rise of Europe relative to regions that relied on the transmission of knowledge within closed kinship systems (extended families or clans).

scholarly journals Seven Centuries of European Economic Growth and Decline

2015 ◽  
Vol 29 (4) ◽  
pp. 227-244 ◽  
Author(s):  
Roger Fouquet ◽  
Stephen Broadberry
Keyword(s):  
Economic Growth ◽  
Nineteenth Century ◽  
Economic Development ◽  
Industrial Revolution ◽  
Gdp Per Capita ◽  
Economic Decline ◽  
European Economic ◽  
Long Run ◽  
Per Capita ◽  
European Economies

This paper investigates very long-run preindustrial economic development. New annual GDP per capita data for six European countries over the last seven hundred years paint a clearer picture of the history of European economic development. We confirm that sustained growth has been a recent phenomenon, but reject the argument that there was no long-run growth in living standards before the Industrial Revolution. Instead, the evidence demonstrates the existence of numerous periods of economic growth before the nineteenth century—periods of unsustained, but raising GDP per capita. We also show that many of the economies experienced substantial economic decline. Thus, rather than being stagnant, pre-nineteenth century European economies experienced a great deal of change. Finally, we offer some evidence that, from the nineteenth century, these economies increased the likelihood of being in a phase of economic growth and reduced the risk of being in a phase of economic decline.

Population, Technology, and Growth: From Malthusian Stagnation to the Demographic Transition and Beyond

2000 ◽  
Vol 90 (4) ◽  
pp. 806-828 ◽  
Author(s):  
Oded Galor ◽  
David N Weil
Keyword(s):  
Economic Development ◽  
Population Growth ◽  
Demographic Transition ◽  
Technological Progress ◽  
Positive Relationship ◽  
Output Growth ◽  
Income Growth ◽  
Historical Evolution ◽  
Growth Regime ◽  
Per Capita

This paper develops a unified growth model that captures the historical evolution of population, technology, and output. It encompasses the endogenous transition between three regimes that have characterized economic development. The economy evolves from a Malthusian regime, where technological progress is slow and population growth prevents any sustained rise in income per capita, into a Post-Malthusian regime, where technological progress rises and population growth absorbs only part of output growth. Ultimately, a demographic transition reverses the positive relationship between income and population growth, and the economy enters a Modern Growth regime with reduced population growth and sustained income growth. (JEL J13, O11, O33, O40)

scholarly journals Scientific and Technological Progress and Economy of the USSR: Theory, Practice, Lessons for the Present

2021 ◽  
pp. 143-148
Author(s):  
Gleb A. Maslov
Keyword(s):  
Economic Development ◽  
Technological Progress ◽  
Industrial Revolution ◽  
Significant Degree ◽  
Economic Incentives ◽  
Technological Revolution ◽  
Advanced Technologies ◽  
Similar Content ◽  
Post War ◽  
Economic Motives

The article is devoted to the main approaches of Soviet economists to the issue of introducing the achievements of scientific and technological progress into production related to the experience of economic development of the USSR. Among the research provisions, general economic planning stands out as a key tool for the balanced dissemination of the elements of scientific and technological revolution in the interests of the entire population. Practice showed the validity of the advantages of socialism noted by researchers in a number of spheres. However, there were also significant imbalances in economic development, which were insufficiently worked out theoretically. The successes were concentrated mainly in the important strategic industries, while the production of consumer goods faced systemic difficulties. Ultimately, these imbalances started growing, and the intensive component of economic growth began declining. This tendency is substantiated by a system of motivations at different management levels, among employees. Public enthusiasm and intangible motives were substantial but limited, while economic incentives were insufficient. Nevertheless, despite the current dominance of an economic system being fundamentally different from the Soviet model, there are prerequisites of the growing relevance of turning to Soviet theories and practices in economic development based on advanced technologies. This is due to a significant degree of similar content of technologies attributed to the fourth industrial revolution, compared with the post-war stage of scientific and technological revolution. The new nature of technologies presupposes greater calculation possibilities in planning, the prospects for widespread automation of production, coupled with the need to form new, non-economic motives of work. Similar problems were widely discussed in the Soviet academic sources.

A Successful Population Policy: Potentials and Constraints (Distinguishedl Lecture)

1993 ◽  
Vol 32 (4I) ◽  
pp. 411-431
Author(s):  
Hans-Rimbert Hemmer
Keyword(s):  
Developing Countries ◽  
Economic Development ◽  
Population Growth ◽  
Capita Income ◽  
Population Policy ◽  
Mortality Rates ◽  
Per Capita Income ◽  
Access To Health Services ◽  
Industrial Countries ◽  
Per Capita

The current rapid population growth in many developing countries is the result of an historical process in the course of which mortality rates have fallen significantly but birthrates have remained constant or fallen only slightly. Whereas, in industrial countries, the drop in mortality rates, triggered by improvements in nutrition and progress in medicine and hygiene, was a reaction to economic development, which ensured that despite the concomitant growth in population no economic difficulties arose (the gross national product (GNP) grew faster than the population so that per capita income (PCI) continued to rise), the drop in mortality rates to be observed in developing countries over the last 60 years has been the result of exogenous influences: to a large degree the developing countries have imported the advances made in industrial countries in the fields of medicine and hygiene. Thus, the drop in mortality rates has not been the product of economic development; rather, it has occurred in isolation from it, thereby leading to a rise in population unaccompanied by economic growth. Growth in GNP has not kept pace with population growth: as a result, per capita income in many developing countries has stagnated or fallen. Mortality rates in developing countries are still higher than those in industrial countries, but the gap is closing appreciably. Ultimately, this gap is not due to differences in medical or hygienic know-how but to economic bottlenecks (e.g. malnutrition, access to health services)

Modern patterns of development of the communication and informatization sphere

2019 ◽  
pp. 14-19
Author(s):  
Maryna Demyanchuk
Keyword(s):  
Economic Development ◽  
Information And Communication Technologies ◽  
Communication Technologies ◽  
Economic Resource ◽  
Telecommunication Services ◽  
The World ◽  
Information And Communication ◽  
Per Capita ◽  
Ict Development ◽  
Telecommunications Services

Information and telecommunication services are currently a full-fledged resource for social development compared to traditional resources. The growth of the level of scientific and technological progress has led to the incredibly fast development paces in the sphere of information and communication technologies, which has a significant impact on the development of the economy. On the basis of a thorough analysis of the sectors of information and communication technologies and components of the ICT development index, the article substantiates the need for accelerated digitization of the majority of enterprises of different spheres of economic activity with the aim of qualitative development of Ukrainian economy in order to increase its competitiveness in the world. This is explained by the fact that information and technology represent the main economic resource in the period of formation of information society and digital economy, and enterprises of the sphere of communication and informatization are a catalyst for social and economic development of the country as a whole. Using a methodological toolkit of the theory of systematic and correlation-regression analysis, an economic-mathematical model of the development of the sphere of communication and informatization in the regions of the world and individual countries of the world is constructed. It is based on the existing pattern of leading development of the communications sector, but takes into account the degree of economy dependence on the ICT development, which in some regions and countries is 100%. This is due to the approaching mass availability of ICT services in some countries in these regions. On the basis of the constructed model, the forecasting of GDP PPP per capita was carried out, which showed faster rates of growth of the country’s economy with the growth of the development level of the sphere of communication and informatization and accessibility of telecommunication services. In turn, the availability of telecommunication services is influenced by the digital skills of society and the level of their prices, which has necessitated determining the dependence of GDP PPP per capita on prices for communication services of countries with varying degrees of socio-economic development. This makes it possible to identify reserves for improving the productivity of individuals while increasing the availability of telecommunications services.

Social-economic development of the Transcarpathian region: interregional and transboundary comparisons

2020 ◽  
pp. 30-36
Author(s):  
Lyubomyr Sozanskyy
Keyword(s):  
Economic Development ◽  
Social Economic ◽  
Employment Rate ◽  
Cross Border ◽  
Socio Economic Development ◽  
Per Capita ◽  
Key Indicators ◽  
Social Economic Development ◽  
Average Monthly Salary ◽  
Monthly Salary

In the article, a comparative interregional and cross-border assessment of socio-economic development of the Transcarpathian region is conducted. The results of the study are based on an analysis of the level and dynamics of such key indicators of economic and social development of the region as GRP per capita, employment rate, unemployment rate, average monthly salary, etc. According to the results of interregional comparisons, the low level of efficiency of the economy but the positive dynamics of some indicators of the labor market of the Transcarpathian region was revealed. In particular, among the regions of Ukraine in 2013-2017, the region was 22nd in terms of GRP per capita and 19th in terms of employment. At the same time, by unemployment, it rose from 15th in 2013 to 10th in 2018, and the average monthly wage ranged from 20th to 7th, respectively. Cross-border comparisons showed a significant lag behind the Transcarpathian region from the neighboring regions of Poland, Slovakia, Romania and Hungary for all considered socio-economic indicators. Thus, in particular, according to the indicator of GRP per capita, this lag compared to the Kosice region (Slovakia) in 2017 was 11.4 times. The average monthly salary in Transcarpathian region is 4 times lower than in the neighboring Kosice and Presov regions of Slovakia and the Podkarpackie voivodship of Poland. The positive dynamics in the direction of reducing the above-mentioned gaps in the level of socio-economic development of the analyzed regions in 2017-2018 are revealed. In addition, a regional peculiarity has been identified – the Transcarpathian region and the regions it borders, lag substantially behind the countries they belong to by the level of socio-economic development. As a result, the conclusion is drawn that the results of the conducted inter-regional and transboundary assessment of the socio-economic development of the Transcarpathian region will facilitate the development of inter-regional and interstate programs and strategies for the development of the Carpathian transboundary region to eliminate the identified imbalances.

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