Villanueva, Delano.
Openness, Human Development, and Fiscal Policies Effectson Economic Growth and Speed of Adjustment / Delano Villanueva. [electronic resource] : Delano Villanueva. - Washington, D.C. : International Monetary Fund, 1993. - 1 online resource (36 p.) - IMF Working Papers; Working Paper ; No. 93/59 . - IMF Working Papers; Working Paper ; No. 93/59 .
The model developed here postulates that learning through experience plays a critical role in raising labor productivity over time, with three major consequences. First, the steady-state growth rate (of output) becomes endogenous and is influenced by government policies. Second, the speed of adjustment to steady-state growth is faster, and enhanced learning further reduces adjustment time. Third, both steady-state growth and the optimal net rate of return to capital are higher than the sum of exogenous rates of technical change and population growth. Simulation results confirm the model's faster speed of adjustment, while regression analysis explains a large part of divergent growth patterns across countries in terms of the extent of openness and human development and of the quality of fiscal policies.
1451965788 : 15.00 USD
1018-5941
10.5089/9781451965780.001 doi
Economic Growth
Equation
Equations
Growth Rate of Output
Growth Rate
Botswana
Cameroon
Dominican Republic
Iran, Islamic Republic of
Sri Lanka
Openness, Human Development, and Fiscal Policies Effectson Economic Growth and Speed of Adjustment / Delano Villanueva. [electronic resource] : Delano Villanueva. - Washington, D.C. : International Monetary Fund, 1993. - 1 online resource (36 p.) - IMF Working Papers; Working Paper ; No. 93/59 . - IMF Working Papers; Working Paper ; No. 93/59 .
The model developed here postulates that learning through experience plays a critical role in raising labor productivity over time, with three major consequences. First, the steady-state growth rate (of output) becomes endogenous and is influenced by government policies. Second, the speed of adjustment to steady-state growth is faster, and enhanced learning further reduces adjustment time. Third, both steady-state growth and the optimal net rate of return to capital are higher than the sum of exogenous rates of technical change and population growth. Simulation results confirm the model's faster speed of adjustment, while regression analysis explains a large part of divergent growth patterns across countries in terms of the extent of openness and human development and of the quality of fiscal policies.
1451965788 : 15.00 USD
1018-5941
10.5089/9781451965780.001 doi
Economic Growth
Equation
Equations
Growth Rate of Output
Growth Rate
Botswana
Cameroon
Dominican Republic
Iran, Islamic Republic of
Sri Lanka