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Population growth and human capital: a welfarist approach

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  • Thomas Renstrom

    () (University of Durham (UK))

  • Luca Spataro

    () (Dipartimento di Economia e Management, University of Pisa (Italy))

Abstract

In this paper we investigate the relationship between economic and population growth in an endogenous growth model driven by human capital accumulation à la Lucas (1988). Since we allow for endogenous population growth, we adopt the population criterion Relative Critical Level Utilitarianism (an extension of Critical Level Utilitarianism, Blackorby et al. 1995) which allows axiomatically founded welfare orderings under variable population. Under this extension the Critical Level Utility is dependent on parents’ wellbeing. In this scenario we investigate the equilibrium relation between economic growth and population growth as functions of the underlying parameters and we provide the conditions for the economic take-off to occur.

Suggested Citation

  • Thomas Renstrom & Luca Spataro, 2014. "Population growth and human capital: a welfarist approach," Public Finance Research Papers 3, Istituto di Economia e Finanza, DIGEF, Sapienza University of Rome.
  • Handle: RePEc:gfe:pfrp00:0003
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    References listed on IDEAS

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    Cited by:

    1. Luca Spataro, Luciano Fanti and Pier Mario Pacini, 2017. "Savings, fertility and public policy in an OLG small open economy," Discussion Papers 2017/230, Dipartimento di Economia e Management (DEM), University of Pisa, Pisa, Italy.
    2. Edle von Gaessler, Anne & Ziesemer, Thomas, 2017. "Ageing, human capital and demographic dividends with endogenous growth, labour supply and foreign capital," MERIT Working Papers 043, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    3. Dalibor Gottwald & Libor Švadlenka & Hana Pavlisová, 2016. "Human Capital and Growth of E-postal Services: A cross-country Analysis in Developing Countries," Post-Print hal-01307145, HAL.

    More about this item

    Keywords

    population growth; endogenous growth; human capital; critical level utilitarianism;

    JEL classification:

    • D6 - Microeconomics - - Welfare Economics
    • J11 - Labor and Demographic Economics - - Demographic Economics - - - Demographic Trends, Macroeconomic Effects, and Forecasts
    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models

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