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On Productivity Growth

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  • H. Gürak
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    Abstract

    Capitalism’s inherent feature is “destructive creation”, said Marx. Decades later, in a similar fashion, Schumpeter stated that “Capitalist system incessantly revolutionizes the economic structure FROM WITHIN”. What are those dynamic forces causing the incessant changes in an economy ? According to P. Drucker, A. Toffler, Baumol-McLennan and many others it is the productivity increases (growth) in general. P. Romer provides a more specific reply: technological change or the growth of new ideas. In this paper, H. Gürak goes deeper to the core and claims that all technological changes are produced by the intellectual labor of human mind. In other words, knowledge on production, i.e., technology or productive knowledge, gives occasion to a dynamic and uninterrupted growth process, but technology itself is the product of mental labor. In support of this assertion, a simple model of growth based on productive knowledge (creativity of mind) is introduced in the final section of full-text article titled "Creative Intelligence and Productive Knowledge".

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    Bibliographic Info

    Paper provided by EconWPA in its series GE, Growth, Math methods with number 0403001.

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    Length: 14 pages
    Date of creation: 05 Mar 2004
    Date of revision:
    Handle: RePEc:wpa:wuwpge:0403001

    Note: Type of Document - Word.doc; prepared on Win 2000; pages: 14; figures: 2
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    Web page: http://128.118.178.162

    Related research

    Keywords: Growth-Productivity-Human Capital-Labor Power;

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    Cited by:
    1. Amavilah, Voxi Heinrich, 2007. "The effects of technology-as-knowledge on the economic performance of developing countries: An econometric analysis using annual publications data for Botswana, Namibia, and South Africa, 1976-2004," MPRA Paper 3482, University Library of Munich, Germany.

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