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New Technology, Human Capital and Growth for Developing Countries

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Author Info

  • Cuong Le Van

    (Universit� Paris 1 Panth�on-Sorbonne, CNRS, Paris School of Economics)

  • Tu-Anh Nguyen

    (Universit� Paris 1 Panth�on-Sorbonne, CNRS)

  • Manh-Hung Nguyen

    (Universit� Toulouse 1, Toulouse School of Economics, LERNA)

  • Thai Bao Luong

    (Universit� Paris 13)

Abstract

We consider a developing country with three sectors in economy: consumption goods, new technology, and education. Productivity of the consumption goods sector depends on new technology and skilled labor used for production of the new technology. We show that there might be three stages of economic growth. In the first stage the country concentrates on production of consumption goods; in the second stage it requires the country to import both physical capital to produce consumption goods and new technology capital to produce new technology; and finally the last stage is one where the country needs to import new technology capital and invest in the training and education of high skilled labor in the same time.

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Bibliographic Info

Paper provided by Development and Policies Research Center (DEPOCEN), Vietnam in its series Working Papers with number 01.

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Length: 40 pages
Date of creation: Aug 2007
Date of revision: Jan 2009
Handle: RePEc:dpc:wpaper:0107

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Keywords: Optimal growth model; New technology capital; Human Capital; Developing country.;

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References

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  1. Olivier Bruno & Cuong Van & Benoît Masquin, 2009. "When does a developing country use new technologies?," Economic Theory, Springer, Springer, vol. 40(2), pages 275-300, August.
  2. Kim Jong-Il & Lau Lawrence J., 1994. "The Sources of Economic Growth of the East Asian Newly Industrialized Countries," Journal of the Japanese and International Economies, Elsevier, vol. 8(3), pages 235-271, September.
  3. Jonathan Eaton & Samuel Kortum, 2004. "Trade in Capital Goods," Levine's Working Paper Archive 228400000000000019, David K. Levine.
  4. Dana, Rose-Anne & Le Van, Cuong, 2003. "Dynamic Programming in Economics," Economics Papers from University Paris Dauphine, Paris Dauphine University 123456789/416, Paris Dauphine University.
  5. Dana, Rose-Anne & Le Van, Cuong, 2003. "Dynamic Programming in Economics," Economics Papers from University Paris Dauphine, Paris Dauphine University 123456789/13605, Paris Dauphine University.
  6. repec:hal:journl:halshs-00197539 is not listed on IDEAS
  7. repec:fth:bosecd:109 is not listed on IDEAS
  8. Kumar, Krishna B., 2003. "Education And Technology Adoption In A Small Open Economy: Theory And Evidence," Macroeconomic Dynamics, Cambridge University Press, Cambridge University Press, vol. 7(04), pages 586-617, September.
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Citations

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Cited by:
  1. Cuong Le Van & Manh-Hung Nguyen & Thai Bao Luong & Tu Anh Nguyen, 2008. "New Technology, Human Capital and Growth for European Transitional Economies," THEMA Working Papers, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise 2008-07, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
  2. Anh Nguyen Tu & Thuy Nguyen Thu, 2011. "Is Vietnam economic paradigm sustainable for catch up," Working Papers, Development and Policies Research Center (DEPOCEN), Vietnam 09, Development and Policies Research Center (DEPOCEN), Vietnam.

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