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Technological efficiency and the welfare of the capital-poor in a simple model of endogenous growth

Author

Listed:
  • Subrata Guha

    (CESP, Jawaharlal Nehru University, New Delhi, India)

Abstract

The note demonstrates the existence of a trade-off between technological efficiency (and economic growth) and the welfare of infinitely-lived capital-poor agents in a simple model of endogenous growth with a convex technology. The trade-off can exist even when the wage rate for unskilled labour and its rate of growth are higher along growth paths associated with more efficient technologies.

Suggested Citation

  • Subrata Guha, 2003. "Technological efficiency and the welfare of the capital-poor in a simple model of endogenous growth," Economics Bulletin, AccessEcon, vol. 15(1), pages 1-9.
    • Handle: RePEc:ebl:ecbull:eb-03o30002
    as

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    File URL: http://www.accessecon.com/pubs/EB/2003/Volume15/EB-03O30002A.pdf
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    AK Models;

    JEL classification:

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

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