IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this paper or follow this series

Determinants of Economic Growth Across Embedded Economies: A Transformational Analogy of Mining Population for Human Capital

  • Voxi Heinrich S. Amavilah

Emerging evidence shows a strong correlation between institutions and economic growth, and explains the recent research shift from focus on resources and resource productivity to institutions as determinants of economic growth. The positive correlation is read by some as indication that economies with similar institutions should perform approximately the same, and by extension embedded economies should perform like their host(s). However, observation shows that some embedded economies, such as some U.S. Native economies, perform worse than their host(s) sometimes. There are two reasons for the difference: (a) host-embedded interactions are weak; and (b) the institutions of embedded- and host economies are similar only at the infrastructure level, but very dissimilar at the supestructure level. Within general host economies infrastructural and supperstructural elements of institutions work together to stimulate and sustain economic growth, while within embedded economies they may pull in opposing directions thereby slowing, preventing, or even reversing economic growth. This paper first sets up a practical model of host-embedded interactions assumed to take place via the states of the host economy (Yj) and technology (Aj) - both of which affect local production (Yi), where Yj affects Yi directly and Aj affects Yi indirectly through human capital. Second, the paper introduces geo-engineering quantity-quality models that would allow assessment of the separate effects on the growth of embedded economies of infrastructural and superstructural aspects of institutions. An obvious weakness of the paper is that it leaves empirical estimations and tests for a separate study.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL: http://128.118.178.162/eps/dev/papers/0402/0402001.pdf
Download Restriction: no

File URL: http://128.118.178.162/eps/dev/papers/0402/0402001.ps.gz
Download Restriction: no

File URL: http://128.118.178.162/eps/dev/papers/0402/0402001.doc.gz
Download Restriction: no

Paper provided by EconWPA in its series Development and Comp Systems with number 0402001.

as
in new window

Length: 21 pages
Date of creation: 03 Feb 2004
Date of revision:
Handle: RePEc:wpa:wuwpdc:0402001
Note: Type of Document - word perfect doc; prepared on WinXP; pages: 21; figures: None. Author invites comments and criticisms
Contact details of provider: Web page: http://128.118.178.162

No references listed on IDEAS
You can help add them by filling out this form.

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:wpa:wuwpdc:0402001. 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: (EconWPA)

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.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.