scholarly journals Human Capital as Engine of Growth: The Role of Knowledge Transfers in Promoting Balanced Growth within and across Countries

2020 ◽  
Vol 37 (2) ◽  
pp. 225-263
Author(s):  
Isaac Ehrlich ◽  
Yun Pei
Keyword(s):  
Human Capital ◽  
Physical Capital ◽  
Spillover Effects ◽  
Developed Countries ◽  
Knowledge Spillover ◽  
Population Replacement ◽  
Balanced Growth ◽  
Knowledge Transfers ◽  
Skill Groups

Unlike physical capital, human capital has both embodied and disembodied dimensions. It can be perceived not only as skill and acquired knowledge but also as knowledge spillover effects between overlapping generations and across different skill groups within and across countries. We illustrate the roles these characteristics play in the process of economic development, the relation between income growth and income and fertility distributions, and the relevance of human capital in determining the skill distribution of immigrants in a balanced-growth global equilibrium setting. In all three illustrations, knowledge spillover effects play a key role. The analysis offers new insights for understanding the decline in fertility below the population replacement rate in many developed countries, the evolution of income and fertility distributions across developing and developed countries, and the often asymmetric effects that endogenous immigration flows and their skill composition exert on the long-term net benefits from immigration to natives in source and destination countries.

The Reproduction Vector of the Russian Economy: 1999-2007

2008 ◽  
pp. 94-109 ◽  
Author(s):  
D. Sorokin
Keyword(s):  
Economic Policy ◽  
Human Capital ◽  
Growth Rates ◽  
Developed Countries ◽  
Gdp Per Capita ◽  
Real Sector ◽  
Russian Economy ◽  
Per Capita ◽  
The Developed Countries

The problem of the Russian economy’s growth rates is considered in the article in the context of Russia’s backwardness regarding GDP per capita in comparison with the developed countries. The author stresses the urgency of modernization of the real sector of the economy and the recovery of the country’s human capital. For reaching these goals short- or mid-term programs are not sufficient. Economic policy needs a long-term (15-20 years) strategy, otherwise Russia will be condemned to economic inertia and multiplying structural disproportions.

A spatio-temporal analysis of non-farm enterprise performance in Uganda: 2010-2012

2016 ◽  
Vol 7 (4) ◽  
pp. 535-546
Author(s):  
Nkechi Srodah Owoo
Keyword(s):  
Firm Performance ◽  
Information Exchange ◽  
Business Performance ◽  
Spillover Effects ◽  
Developed Countries ◽  
Enterprise Performance ◽  
Content Type ◽  
Space And Time ◽  
Knowledge Transfers ◽  
Spatio Temporal

Purpose Recent research into enterprise performance has focussed on the importance of firm proximity to total productivity. Using spatial correlation of firm performance as a proxy for knowledge transfers and diffusion, the purpose of this paper is to examine the evidence for these spatial effects in non-farm enterprise performance in Uganda, across space and time. Design/methodology/approach The author uses data from the geo-referenced Uganda National Panel Survey from 2010 to 2012, and employs explicit spatial techniques in the analysis of rural non-farm enterprise performance. Spatial autocorrelation of firm performance are used as proxies for knowledge transfers and information flows among enterprises across space and over time. Findings The study finds evidence of spatial spillover effects across space and time in Uganda. This implies that, as existing studies of developed countries have found, social infrastructure and firm proximity contribute significantly to the performance of rural economies, through information exchange and knowledge transfers. Practical implications Given the communal nature of rural households in the African setting, knowledge exchange and transfers among neighbouring firms should be encouraged as studies have found they have strong effects on business performance. Additionally, business “leaders” could also be useful in disseminating useful new technologies and applications to neighbouring enterprises in order to boost performance and productivity. Social implications There should be better targeting of policy interventions to clusters of particularly needy enterprises. Originality/value To the best of the author’s knowledge, this is the first time that spatio-temporal effects of business performance have been explored. While spatial analyses of business performance have been carried out in developed countries, studies using explicit spatial techniques in the developing country setting have been conspicuously absent.

scholarly journals Population and Economic Growth Under Different Growth Engines

2017 ◽  
Vol 18 (2) ◽  
pp. 182-211 ◽  
Author(s):  
Alberto Bucci ◽  
Xavier Raurich
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Human Capital ◽  
Population Growth ◽  
Capital Accumulation ◽  
Capital Investment ◽  
Human Capital Investment ◽  
Physical Capital ◽  
Long Run

Abstract Using a growth model with physical capital accumulation, human capital investment and horizontal R&D activity, this paper proposes an alternative channel through which an increase in the population growth rate may yield a non-uniform (i.e., a positive, negative, or neutral) impact on the long-run growth rate of per-capita GDP, as available empirical evidence seems mostly to suggest. The proposed mechanism relies on the nature of the process of economic growth (whether it is fully or semi-endogenous), and the peculiar engine(s) driving economic growth (human capital investment, R&D activity, or both). The model also explains why in the long term the association between population growth and productivity growth may ultimately be negative when R&D is an engine of economic growth.

scholarly journals Influence of human and physical capital on the survival of new ventures

2014 ◽  
Vol 2 (1) ◽  
pp. 45
Author(s):  
Lorenzo Revuelto Taboada ◽  
Virginia Simón Moya
Keyword(s):  
Human Capital ◽  
Empirical Study ◽  
Logit Model ◽  
New Ventures ◽  
Physical Capital ◽  
Short And Long Term

The purpose of this study is to analyze the influence of physical and human capital on the survival of new ventures in different economic contexts. We conduct an empirical study by using a logit model to analyze new ventures’ probabilities of survival. The results show that both human and physical capital influence the survival of ventures in the short and long term, with human capital playing a particularly important role. The implications of the study hinge on two key findings. First, the government’s potential to promote more efficient forms of entrepreneurship is a prominent factor. Second, the motivations —necessity or opportunity—of the entrepreneurs embarking on business ventures, and the importance of certain types of capital also determine the venture’s prospects for survival.

A theory of global economic growth in the very long-run: is a grand innovation slowdown inevitable?

2020 ◽  
Vol 6 (53) ◽  
pp. 175-188
Author(s):  
Stanislaw Gomulka
Keyword(s):  
Developed Countries ◽  
World Population ◽  
Extended Model ◽  
Balanced Growth ◽  
Catching Up ◽  
Long Run ◽  
Per Capita ◽  
Global Economic Growth ◽  
Qualitative Changes

AbstractThe paper shows how the original semi endogenous and balanced growth model of Phelps (1966), and my extended version of it (Gomulka, 1990), could be useful in explaining the key ‘stylized facts’ of global long-term growth so far, and in predicting its dynamics in the future. During the last two centuries the sector of R&D and education, producing qualitative changes, has been expanding in the world’s most developed countries much faster than the sector producing conventional goods. The extended model is used to explore and evaluate. the consequences for the global long-term growth of the end of this unbalanced growth, of the completion of the catching up by most of the world’s less developed countries, and of the expected eventual stabilization of the size of the world population. The theory yields a thesis, new in the literature, that the rate of global per capita GDP growth will eventually return to the historically standard very low level, thus implying that the world’s technological revolution is going to be an innovation super-fluctuation.

scholarly journals Macroeconomic Determinants of Economic Growth: A Review of International Literature

2016 ◽  
Vol 11 (2) ◽  
pp. 33-47 ◽  
Author(s):  
Themba G. Chirwa ◽  
Nicholas M. Odhiambo
Keyword(s):  
Economic Growth ◽  
Monetary Policy ◽  
Human Capital ◽  
Fiscal Policy ◽  
Empirical Studies ◽  
Physical Capital ◽  
Developed Countries ◽  
Empirical Literature ◽  
Macroeconomic Determinants ◽  
Determinants Of Economic Growth

AbstractThe paper conducts a qualitative narrative appraisal of the existing empirical literature on the key macroeconomic determinants of economic growth in developing and developed countries. Much as other empirical studies have investigated the determinants of economic growth using various econometric methods, the majority of these studies have not distinguished what drives or hinders economic growth in developing or developed countries. The study finds that the determinants of economic growth are different when this distinction is used. It reveals that in developing countries the key macroeconomic determinants of economic growth include foreign aid, foreign direct investment, fiscal policy, investment, trade, human capital development, demographics, monetary policy, natural resources, reforms and geographic, regional, political and financial factors. In developed countries, the study reveals that the key macroeconomic determinants that are associated with economic growth include physical capital, fiscal policy, human capital, trade, demographics, monetary policy and financial and technological factors.

INCOME INEQUALITY AND ECONOMIC GROWTH WITH ALTRUISTIC BEQUESTS AND HUMAN CAPITAL INVESTMENT

2011 ◽  
Vol 16 (S3) ◽  
pp. 331-354 ◽  
Author(s):  
Stuart McDonald ◽  
Jie Zhang
Keyword(s):  
Human Capital ◽  
Income Inequality ◽  
Capital Investment ◽  
Physical Capital ◽  
Output Growth ◽  
Growth Path ◽  
Average Output ◽  
Balanced Growth ◽  
Factor Markets ◽  
Balanced Growth Path

In this paper we explore how income inequality affects growth in a dynastic family model with bequests (physical capital) and investment in human capital for children. For tractability, we abstract from factor markets and focus on household production, which is prevalent in developing countries. We explore a joint distribution of bequests and human capital and track the evolution of income distribution across generations. We show that initial inequality has a positive indirect effect on average output growth by lowering the ratio of physical to human capital, besides its standard negative direct effect. If education is mainly privately (publicly) provided, then income inequality retards (promotes) growth outside the balanced growth path. On the balanced growth path, inequality always hinders growth.

scholarly journals Attracting and retaining highly educated individuals: Two examples of immigration policies

2018 ◽  
pp. 627-638
Author(s):  
Јelena Predojevic-Despic
Keyword(s):  
Human Capital ◽  
Rapid Development ◽  
Developed Countries ◽  
Immigration Policies ◽  
Foreign Born ◽  
Highly Educated ◽  
Short Period ◽  
The Usa ◽  
Selection Of

Ensuring more favourable conditions for immigration and circulation of the most educated structures of the foreign-born population has been rapidly becoming one of the most important goals of immigration policies in the economically developed countries. The availability of human capital is the basic precondition for the continuous economic development of every country. Therefore, the aim of the paper is to examine two successful examples (USA and Canada) of legal solutions to immigration policies for attracting and retaining professionals and highly educated individuals. Their bases are embedded in public policies relating immigrants of the majority of countries, both traditionally immigrant countries and the ones that have turned into immigrant countries. The USA and Canada are selected because they had relatively simple and quick procedures for granting immigrant visas back in the 1990s, which enabled a significant number of our highly educated citizens to immigrate to these two countries after the breakup of the former Yugoslavia. Immigration to the USA is based on a system of preferences and it relies significantly on the selection of immigrants based on the needs of the labour market. Canada?s example shows how through efficient development and in a relatively short period of time, the immigration system has been perfected by scoring, i.e. assessing the potential of human capital as the basic precondition for selecting potential immigrants. At the same time, the rapid development of the multiculturalism policy has created opportunities for successful long-term integration.

scholarly journals The Determinants of Labor Productivity: Analyses on Chosen Countries (1960-2010)

2016 ◽  
Author(s):  
Murat Nişancı ◽  
Aslı Cansın Doker ◽  
Adem Türkmen ◽  
Ömer Selçuk Emsen
Keyword(s):  
Developing Countries ◽  
Human Capital ◽  
Labor Productivity ◽  
Panel Data Analysis ◽  
Physical Capital ◽  
Developed Countries ◽  
Learning By Doing ◽  
Marginal Productivity ◽  
Growth Trend ◽  
Economic Productivity

Discussions on economic productivity, in micro analysis aspects there is direct causal relationship between increases or decreases in the production and productivity, whereas it can be said that productivity is based on economic recession or growth in macro analysis aspects. In the literature, while Classical theoreticians is attributed that the source of growth is the marginal productivity of capital, neoclassic school claims that marginal productivity difference provide benefit the country from behind for realization of the convergence hypothesis. Furthermore, increasing efficiency and as the factors this increase efficiency human capital, learning by doing concepts and technology are focused in the endogenous growth theories. In this study, human capital, physical capital per worker, exports per worker, gender differences, fertility, life expectancy and dependent population ratio were determined as determinants of labor productivity. In respect to labor productivity, variables are divided to three main groups in order to economic demographic and social and psychological factors. The variables are placed with taking five years average due to the fact that those variables’ effects reveal themselves more clearly in the long term. In the paper, it was investigated by panel data analysis considering groups of developed and developing countries between 1960 and 2010 period. In this context the degree of efficiency may well be discussed with parameters of selected variables for productivity of labor. Additionally, within framework of descriptive statistics the differences and similarities between countries were interpreted for political recommendations to developing countries how to increase productivity for catching developed countries’ growth trend.

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