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Total Factor Productivity, Saving Rate and Learning-by-Doing in Growth Process

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Author Info
Cuong Le Van (Centre d'Economie de la Sorbonne, Universite Paris-1, France)
Tu-Anh Nguyen (Centre d'Economie de la Sorbonne, Universite Paris-1, France)

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Abstract

In transitional stage saving rate play an important role in output growth rate as proposed by Krugman. Accumulationists are also right as claiming that learning-by-doing play an important role in TFP growth in NIEs. However, using a CES production technology we can show that the growth model based purely on learning-by-doing is constrained by labor growth rate. If the latter is constant in the long-run, then the growth can not be sustained.

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Publisher Info
Paper provided by Development and Policies Research Center (DEPOCEN), Vietnam in its series Working Papers with number 08.

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Length: 20 pages
Date of creation: Jan 2009
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Handle: RePEc:dpc:wpaper:0809

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Related research
Keywords: Optimal growth model; learning-by-doing; saving rate; Developing country.;

Find related papers by JEL classification:
D51 - Microeconomics - - General Equilibrium and Disequilibrium - - - Exchange and Production Economies
E13 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - Neoclassical
E21 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth

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This page was last updated on 2009-12-13.

This information is provided to you by IDEAS at the Department of Economics, College of Liberal Arts and Sciences, University of Connecticut using RePEc data on a server sponsored by the Society for Economic Dynamics.