This paper introduces age-based population heterogeneity in the Mankiw, Romer, and Weil (1992)model to improve measurement of aggregate labor and aggregate human capital. The estimation results are consistent with this model, and they indicate a hump-shaped and quantitatively important partial relation between the initial population age distribution and the subsequent rate of economic growth for the U.S. states for the period 1930-2000. This paper also finds that the estimated growth effects of the initial level of income per capita, of educational attainment, and of variables measuring the population growth rate are substantially biased if the age distribution is not accounted for.

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Paper provided by Örebro University, Swedish Business School in its series Working Papers with number 2004:7.

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Length: 20 pages
Date of creation: 23 Nov 2004
Date of revision:
Handle: RePEc:hhs:oruesi:2004_007

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Related research

Keywords: Population age structure; Regional Economic growth; Human capital; Population Growth; Migration;

Find related papers by JEL classification:
O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
O18 - Economic Development, Technological Change, and Growth - - Economic Development - - - Regional, Urban, and Rural Analyses
O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

This paper has been announced in the following NEP Reports:

• NEP-ALL-2004-11-30 (All new papers)

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