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Early Literacy Achievements, Population Density and the Transition to Modern Growth

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Author Info
Raouf, BOUCEKKINE
David, DE LA CROIX
Dominique, PEETERS

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Abstract

The transition from economic stagnation to sustained growth is often modelled thanks to “population-induced” productivity improvements, which are assumed rather than derived from primary assumptions. In this paper the effect of population on productivity is derived from optimal behavior. More precisely, both the number and location of education facilities are chosen optimally by municipalities. Individuals determine their education investment depending on the distance to the nearest school, and also on technical progress and longevity. In this setting, higher population density enables the set-up costs of additional schools to be covered, opening the possibility to reach higher educational levels. Using conterfactual experiments we find that one third of the rise in literacy can be directly attributed to the effect of density, while one sixth is linked to higher longevity and one half to technical progress. Moreover, the effect of population density in the model is consistent with the available evidence from England, where it is shown that schools were established at a high rate over the period 1540-1620.

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Paper provided by Université catholique de Louvain, Département des Sciences Economiques in its series Université catholique de Louvain, Département des Sciences Economiques Working Paper with number 2005023.

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Length: 47
Date of creation: 18 Mar 2005
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Handle: RePEc:ctl:louvec:2005023

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Related research
Keywords: Human Capital Population Density Education Investment School Location Technical Progress

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Find related papers by JEL classification:
O41 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models
I21 - Health, Education, and Welfare - - Education - - - Analysis of Education
R12 - Urban, Rural, and Regional Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends and Forecasts

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Raouf Boucekkine & David de la Croix & Omar Licandro, . "vintage human capital, demographic trends and endogenous growth," Working Papers 2000-02, FEDEA. [Downloadable!]
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  2. Ciccone, Antonio & Hall, Robert E, 1996. "Productivity and the Density of Economic Activity," American Economic Review, American Economic Association, vol. 86(1), pages 54-70, March. [Downloadable!] (restricted)
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  3. Oded Galor, 2004. "From Stagnation to Growth: Unified Growth Theory," GE, Growth, Math methods 0409003, EconWPA. [Downloadable!]
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  4. Gary S. Becker & Edward L. Glaeser & Kevin M. Murphy, 1999. "Population and Economic Growth," American Economic Review, American Economic Association, vol. 89(2), pages 145-149, May. [Downloadable!] (restricted)
  5. Nils-Petter Lagerl–f, 2003. "From Malthus to Modern Growth: Can Epidemics Explain the Three Regimes?," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 44(2), pages 755-777, 05. [Downloadable!] (restricted)
  6. Bartel, Ann P & Lichtenberg, Frank R, 1987. "The Comparative Advantage of Educated Workers in Implementing New Technology," The Review of Economics and Statistics, MIT Press, vol. 69(1), pages 1-11, February. [Downloadable!] (restricted)
  7. Kelley, Allen C. & Schmidt, Robert M., 1995. "Aggregate Population and Economic Growth Correlations: The Role of the Components of Demographic Change," Working Papers 95-37, Duke University, Department of Economics. [Downloadable!]
  8. Matthias Doepke, 2004. "Accounting for Fertility Decline During the Transition to Growth," Journal of Economic Growth, Springer, vol. 9(3), pages 347-383, 09. [Downloadable!]
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  9. Lucas, Robert Jr., 1988. "On the mechanics of economic development," Journal of Monetary Economics, Elsevier, vol. 22(1), pages 3-42, July. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. David, DE LA CROIX & Bo, MALMBERG, 2006. "Growth and Longevity from the Industrial Revolution to the Future of an Aging Society," Université catholique de Louvain, Département des Sciences Economiques Working Paper 2006037, Université catholique de Louvain, Département des Sciences Economiques. [Downloadable!]
    Other versions:
  2. Raouf, BOUCEKKINE & David, DE LA CROIX & Dominique, PEETERS, 2007. "Disentangling the demographic determinants of the English take-off : 1530-1860," Université catholique de Louvain, Département des Sciences Economiques Working Paper 2007019, Université catholique de Louvain, Département des Sciences Economiques. [Downloadable!]
  3. Raouf, BOUCEKKINE & Bity, DIENE & Theophile, AZOMAHOU, 2006. "The Growth economics of epidemics," Université catholique de Louvain, Département des Sciences Economiques Working Paper 2006021, Université catholique de Louvain, Département des Sciences Economiques. [Downloadable!]
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