Discusssion On The Idea And Technology In Labor Augmenting Solow Model Besides Physical And Human Capital Complementarity
It is suggested that developing countries could catch up with the developed world if only they attained increased levels of human development. The links between growth and human development are complex even with human capital its self and human capital to the physical capital. Besides large disparities in indicators of human well-being, such as life expectancy and educational attainment, not all countries with relatively higher levels of human development handles to achieve high long-term economic growth rates (United Nations, 2006). As data points out that in order to reach the convergence among the countries, not only the physical to human capital ratio plays crucial role but also the income level specific effects. What these income level specific effects indicate in our study? How they are related with technology and ideas? Technologies are the way in which inputs to the production process are transformed into output and ideas improve the technology of production. Therefore, a new idea allows a given bundle of inputs to produce more or better output and ideas are non-rivalrous. Once an idea is created, anyone with knowledge of the idea can take advantage of it. Ideas are partially excludable while technologies in the inputs are mostly excludable since goods and inputs suffer from tragedy of commons. Thus, in order to benefit efficiently from the ideas and technology, the macro economic stability, social cohesion, common structural habits or feeling secure about the life, geography, religion, corruption, quality of institutions and governance structures matter for economic growth. That is what dummies stands for and that goes with what Bulutay (1995) emphasizes about the ambiance created by the countries.
Volume (Year): 9 (2009)
Issue (Month): 2 ()
|Contact details of provider:|| Web page: http://www.usc.es/economet/eaa.htm|
|Order Information:|| Web: http://www.usc.es/economet/info.htm Email: |
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.:
- Rodney Ramcharan, 2004. "Higher or Basic Education? The Composition of Human Capital and Economic Development," IMF Staff Papers, Palgrave Macmillan, vol. 51(2), pages 5-5.
When requesting a correction, please mention this item's handle: RePEc:eaa:ijaeqs:v:9:y2009:i:1_11. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (M. Carmen Guisan)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.