Paradoxes in Lucas's 1988 model with variable returns
AbstractThe point of this paper is that the introduction of variable returns to scale in Lucas's 1988 model can produce paradoxical results: there can be negative relationships between the rate of growth of income and the rate of growth of human capital, between physical and human capital, and between the rate of growth of human capital and the rate of growth of wages. Moreover, the author argues the following "ontological paradox": the main equations of Lucas's 1988 model depend on the cardinal measurability of the external effects of human capital represented by a variable that is not cardinally measurable.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by M.E. Sharpe, Inc. in its journal Journal of Post Keynesian Economics.
Volume (Year): 32 (2009)
Issue (Month): 1 (September)
Contact details of provider:
Web page: http://mesharpe.metapress.com/link.asp?target=journal&id=109348
human capital; Lucas's 1988 model; paradoxical results; variable returns to scale;
You can help add them by filling out this form.
reading list or among the top items on IDEAS.Access and download statisticsgeneral information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Chris Nguyen).
If references are entirely missing, you can add them using this form.