scholarly journals A Discrete Heterogeneous-Group Economic Growth Model with Endogenous Leisure Time

2009 ◽  
Vol 2009 ◽  
pp. 1-17
Author(s):  
Wei-Bin Zhang
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Income Distribution ◽  
Growth Model ◽  
Time Allocation ◽  
Capital Accumulation ◽  
Economic Growth Model ◽  
National Economic ◽  
The Rich ◽  
Main Engine

This paper proposes a one-sector multigroup growth model with endogenous labor supply in discrete time. Proposing an alternative approach to behavior of households, we examine the dynamics of wealth and income distribution in a competitive economy with capital accumulation as the main engine of economic growth. We show how human capital levels, preferences, and labor force of heterogeneous households determine the national economic growth, wealth, and income distribution and time allocation of the groups. By simulation we demonstrate, for instance, that in the three-group economy when the rich group's human capital is improved, all the groups will economically benefit, and the leisure times of all the groups are reduced but when any other group's human capital is improved, the group will economically benefit, the other two groups economically lose, and the leisure times of all the groups are increased.

scholarly journals The Dynamics of a Spatial Economic Model with Bounded Population Growth

2021 ◽  
Vol 2021 ◽  
pp. 1-11
Author(s):  
Yue Zhong
Keyword(s):  
Economic Growth ◽  
Population Growth ◽  
Growth Model ◽  
Explicit Solution ◽  
Capital Accumulation ◽  
Initial Distribution ◽  
Time Behavior ◽  
Continuous Space ◽  
Infinite Dimensional ◽  
Economic Growth Model

We investigate a spatial economic growth model with bounded population growth to obtain the asymptotic behavior of detrended capital in a continuous space. The formation of capital accumulation is expressed by a partial differential equation with corresponding boundary conditions. The capital accumulation interacts with the morphology to affect the optimal dynamics of economic growth. After redrafting the spatial growth model in the infinite dimensional Hilbert space, we identify the unique optimal control and value function when the bounded population growth is considered. With nonnegative initial distribution of capital, the explicit solution of the model is obtained. The time behavior of the explicit solution guarantees the convergence issue of the detrended capital level across space and time.

scholarly journals Network effects in a human capital based economic growth model

2009 ◽  
Vol 388 (11) ◽  
pp. 2207-2214 ◽  
Author(s):  
Teresa Vaz Martins ◽  
Tanya Araújo ◽  
Maria Augusta Santos ◽  
Miguel St Aubyn
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Growth Model ◽  
Network Effects ◽  
Economic Growth Model

scholarly journals MODEL PERTUMBUHAN EKONOMI ANTAR KELOMPOK DAN SIMULASINYA

2009 ◽  
Vol 8 (1) ◽  
pp. 67
Author(s):  
A. L. HERLIANI ◽  
E. H. NUGRAHANI ◽  
D. C. LESMANA
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Production Function ◽  
Growth Model ◽  
The Other ◽  
Distribution Model ◽  
Capital Productivity ◽  
Economic Growth Model ◽  
Total Capital ◽  
Primary Variable

Domar’s economic growth model only considers capital as primary variable for production function. On the other hand, Solow’s economic growth model has added the labor as variable in the production function. The aim of this paper is to study distribution model of economic growth among groups in two regions proposed by Zhang (2005). This model considers human capital productivity as one of parameters of the production function. It has been shown that the dynamical system has a unique equilibrium. Therefore, the changes of human capital and propensity to save will influence total capital stocks and capital stocks in each group. Analytically, it is found that an increase in human capital and propensity to save will increase total capital stocks and capital stocks in each group.

scholarly journals Modeling and Application of Fractional-Order Economic Growth Model with Time Delay

2021 ◽  
Vol 5 (3) ◽  
pp. 74
Author(s):  
Ziyi Lin ◽  
Hu Wang
Keyword(s):  
Economic Growth ◽  
Time Delay ◽  
Fractional Order ◽  
Growth Model ◽  
Capital Accumulation ◽  
High Speed ◽  
Time Lag ◽  
Sufficient Conditions ◽  
Economic Growth Model ◽  
Proposed Model

This paper proposes a fractional-order economic growth model with time delay based on the Solow model to describe the economic growth path and explore the underlying growth factors. It effectively captures memory characteristics in economic operations by adding a time lag to the capital stock. The proposed model is presented in the form of a fractional differential equations system, and the sufficient conditions for the local stability are obtained. In the simulation, the theoretical results are verified and the sensitivity analysis is performed on individual parameters. Based on the proposed model, we predict China’s GDP in the next thirty years through optimization and find medium-to-high-speed growth in the short term. Furthermore, the application results indicate that China is facing the disappearance of demographic dividend and the deceleration of capital accumulation. Therefore, it is urgent for China to increase the total factor productivity (TFP) and transform its economic growth into a trajectory dependent on TFP growth.

scholarly journals MIGRATION, CONGESTION, AND GROWTH

2018 ◽  
Vol 23 (8) ◽  
pp. 3035-3064 ◽  
Author(s):  
Leonid V. Azarnert
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Growth Model ◽  
Capital Accumulation ◽  
World Economy ◽  
Temporal Evolution ◽  
Human Capital Accumulation ◽  
Endogenous Fertility ◽  
Advanced Economy ◽  
The World

This article analyzes the effect of migration from a less advanced economy to a more advanced economy on economic growth. The analysis is performed in a two-country growth model with endogenous fertility, in which congestion diseconomies are incorporated. The model shows that out-migration increases fertility and reduces human capital in the source economy. At the same time, in-migration reduces fertility and can increase or decrease the average level of human capital in the host economy. I show how migration affects the inter-temporal evolution of human capital in the world economy. I also demonstrate that a tax imposed on immigrants in the host economy can increase human capital accumulation in the receiving and sending economies and the world as a whole.

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

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.

Human Capital Accumulation and Resource Abundance

2011 ◽  
pp. 66-77
Author(s):  
O. Vasilieva
Keyword(s):  
Economic Growth ◽  
Human Capital ◽  
Capital Accumulation ◽  
Relevant Literature ◽  
Harmful Effect ◽  
Human Capital Accumulation ◽  
Resource Abundance ◽  
Empirical Results ◽  
Theoretical Predictions ◽  
Crowd Out

Does resource abundance positively affect human capital accumulation? Or, alternatively, does it «crowd out» the human capital leading to the deterioration of economic growth? The paper gives an overview of the relevant literature and discusses both theoretical and empirical results obtained regarding the connection between human capital accumulation and resource abundance. It shows that despite some theoretical predictions about the harmful effect of resource abundance on human capital accumulation, unambiguous evidence of such impact that would be robust with respect to the change of resource abundance parameter has not been obtained yet.

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