The Relative Size of the Public Sector and the Tax Burden in a Neoclassical Growth Model

1976 ◽  
Vol 78 (3) ◽  
pp. 413 ◽  
Author(s):  
Erik Gørtz ◽  
Jørgen Drud Hansen ◽  
Erik Gortz ◽  
Jorgen Drud Hansen
Keyword(s):  
Public Sector ◽  
Growth Model ◽  
Relative Size ◽  
Tax Burden ◽  
Neoclassical Growth Model ◽  
The Public ◽  
Neoclassical Growth

scholarly journals Productivity Growth and Public Sector Employment

1998 ◽  
Vol 42 (2) ◽  
pp. 73-79
Author(s):  
Kong Weng Ho ◽  
Hian Teck Hoon
Keyword(s):  
Public Sector ◽  
Growth Model ◽  
Productivity Growth ◽  
Elasticity Of Substitution ◽  
Neoclassical Growth Model ◽  
High Productivity ◽  
The Public ◽  
Public Sector Employment ◽  
Neoclassical Growth ◽  
Public Share

Our model endogenizes the share of public sector employment in a neoclassical growth model. Under the assumptions that public sector production is labor intensive and the elasticity of substitution between capital and labor is less than one, the public share of employment is shown to decline with a rise in capital per effective worker. Our theory predicts that periods of high productivity growth are associated with a rising trend of the public share of employment. This prediction conforms well with U.S. experience from 1950–1995.

scholarly journals Ramsey Taxation in the Solow-Uzawa Growth Model with Public Goods

2020 ◽  
Vol 2 (2) ◽  
pp. 25-38
Author(s):  
Wei-Bin Zhang
Keyword(s):  
Public Sector ◽  
Public Goods ◽  
Growth Model ◽  
Consumer Goods ◽  
Capital Accumulation ◽  
Optimal Taxation ◽  
Tax Rates ◽  
Capital Goods ◽  
The Public ◽  
Neoclassical Growth

This paper examines issues related to optimal taxation similar to those addressed by Ramsey in his celebrated 1927 paper. Rather than determining taxes on commodities with given revenue to minimize the decrement of utility may be minimum in the Ramsey approach, this model determines optimal taxation to maximize utility with revenue as endogenous variable. We analyze optimal taxation in neoclassical growth theory. We introduce a public sector to the Solow-Uzawa neoclassical growth model. The economy is composed of the public, capital goods and consumer goods sectors. Public goods enter into the utility function. The public sector is financially supported by the government’s revenue from taxing consumption of capital goods and consumer goods. We derive the optimal taxation rule and construct the dynamics of the national economy. The model describes nonlinear dynamic interactions among national and sectoral growth, economic structural change, wealth/capital accumulation, and optimal tax rates in perfect competitive markets with the government intervention. We carry out comparative analysis to analyze effects of changes in some parameters on the tax rates and other economic variables.

Constrained Efficiency in the Neoclassical Growth Model with Uninsurable Idiosyncractic Shocks

2005 ◽  
Author(s):  
Julio Davila ◽  
Jay H. Hong ◽  
Per L. Krusell ◽  
José-Victor Rios-Rull
Keyword(s):  
Growth Model ◽  
Constrained Efficiency ◽  
Neoclassical Growth Model ◽  
Neoclassical Growth

scholarly journals Aging and Wealth Inequality in a Neoclassical Growth Model

Review ◽  
2016 ◽  
Vol 98 (1) ◽  
pp. 61-80 ◽  
Author(s):  
Guillaume Vandenbroucke ◽  
Keyword(s):  
Growth Model ◽  
Wealth Inequality ◽  
Neoclassical Growth Model ◽  
Neoclassical Growth

scholarly journals The Generalized Neoclassical Growth Model

2003 ◽  
Author(s):  
Marco Maffezzoli ◽  
Alejandro Cunat
Keyword(s):  
Growth Model ◽  
Neoclassical Growth Model ◽  
Neoclassical Growth
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