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Population Growth and Endogenous Technological Change: Australian Economic Growth in the Long Run

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  • RAJABRATA BANERJEE

Abstract

The Australian growth experience appears to be a three-act phenomenon, with higher per capita income and living standards before 1890 and after 1940, disconnected by a 50-year period of no trend improvement in between. This paper examines the roles of technological progress and population growth in Australian productivity growth over the past two centuries. The empirical results confirm that while population growth had a negative effect, innovative activity had a positive effect on productivity growth. Furthermore, the estimates strongly support the Schumpeterian growth hypothesis, which predicts that productivity growth is driven by the levels of research intensity in the economy.
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  • Rajabrata Banerjee, 2012. "Population Growth and Endogenous Technological Change: Australian Economic Growth in the Long Run," The Economic Record, The Economic Society of Australia, vol. 88(281), pages 214-228, June.
    • Handle: RePEc:bla:ecorec:v:88:y:2012:i:281:p:214-228
    DOI: j.1475-4932.2011.00784.x
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    5. John Foster, 2016. "The Australian growth miracle: an evolutionary macroeconomic explanation," Cambridge Journal of Economics, Cambridge Political Economy Society, vol. 40(3), pages 871-894.
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    8. Grant Fleming & Frank Liu & David Merrett & Simon Ville, 2022. "Patents, Foreign Direct Investment and Economic Growth in Australia, 1860-2010," CEH Discussion Papers 08, Centre for Economic History, Research School of Economics, Australian National University.
    9. David Greasley & Jakob B. Madsen, 2017. "The Rise and Fall of Exceptional Australian Incomes Since 1800," Australian Economic History Review, Economic History Society of Australia and New Zealand, vol. 57(3), pages 264-290, November.
    10. Banerjee, Rajabrata & Roy, Saikat Sinha, 2014. "Human capital, technological progress and trade: What explains India's long run growth?," Journal of Asian Economics, Elsevier, vol. 30(C), pages 15-31.
    11. Amavilah, Voxi Heinrich, 2014. "Knowledge = Technology + Human Capital and the Lucas and Romer Production Functions," MPRA Paper 58847, University Library of Munich, Germany.
    12. Rajabrata Banerjee & John K. Wilson, 2016. "Roles of Education in Productivity Growth in Australia, 1860–1939," The Economic Record, The Economic Society of Australia, vol. 92(296), pages 47-66, March.
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    14. Banerjee, Rajabrata, 2011. "The US-UK productivity gap in the twentieth century: a race between technology and population," MPRA Paper 30889, University Library of Munich, Germany.
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    16. E. Wesley F. Peterson, 2017. "The Role of Population in Economic Growth," SAGE Open, , vol. 7(4), pages 21582440177, October.
    17. Chandika Gunasinghe & E. A. Selvanathan & Athula Naranpanawa & John Forster, 2021. "Rising Income Inequality in OECD Countries: Does Fiscal Policy Sacrifice Economic Growth in Achieving Equity?," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 33(6), pages 1840-1876, December.
    18. John Foster, 2015. "The Australian Multi-Factor Productivity Growth Illusion," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 48(1), pages 33-42, March.
    19. Amavilah, Voxi Heinrich, 2014. "Human Knowledge and a Commonsensical Measure of Human Capital: A Proposal," MPRA Paper 57670, University Library of Munich, Germany.

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    More about this item

    JEL classification:

    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights

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