Selected Theories of Economic Growth (original) (raw)
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The study was conducted to critically evaluate a classical growth theory with emphasis on the Thomas Malthus theory. According to this theory, the world's population would eventually outstrip its food supply, leading to famine and poverty. This theory has been a subject of much debate over the years, with some economists arguing that technological advances and increased agricultural productivity have enabled us to avoid the dire predictions of Malthus. When it comes to its applicability to the Nigerian economy from 1985-2021, the Malthusian theory has some relevance. Nigeria has experienced rapid population growth during this period, with an average annual growth rate of 2.6% between 1990 and 2020, according to the World Bank. However, despite this population growth, the country has struggled to achieve sustained economic growth and development. Nigeria's economy has been largely dependent on oil exports, which have been subject to fluctuations in global prices. This has led to a boom-and-bust cycle, with periods of economic growth followed by downturns. Additionally, the country has faced a range of structural challenges, including poor infrastructure, corruption, and political instability, which have hampered economic growth and development. It was concluded that while the Malthusian theory of economic growth may have some relevance to the Nigerian economy, it is not the only factor shaping its economic trajectory. Other factors, such as government policies, investment in human capital, and diversification of the economy, are also crucial in determining the country's economic future.
BILKENT UNIVERSITY Department of Economics Econ 453 Theories of Growth and Development I Fall 2001
I will deal mainly with the new growth theory and development macroeconomics in this course. We will be mostly concerned with the determinants of the wealth of nations and also the appropriate national policies to achieve sustained and stable growth. We will regard the economic machine being in motion towards its long run (steady state) equilibrium, in all its giant complexity with many interrelated markets and different agents, classes and institutions. Four sets of issues will be addressed: we will,
This article sets out to review Lewis 1955 without making any concession to its age. It examines the fit of Lewis' analysis with the early growth model of Harrod-Domar and the later exogenous technological progress Solow-Swan model and endogenous model approaches. We find Lewis' analysis builds on and is consistent with these approaches. His analysis is different to the usual mechanistic growth analyses and less susceptible to the usual assessment of growth theory that, "its link with public policy is often very remote. It is as if a poor man collected money for his food and blew it all on alcohol" (Sen 1970, pp. 9-10).
CHAPTER TWO LITERATURE REVIEW 2.1 Conceptual Framework 2.1.1 Concept of Economic Growth
Economic growth as a concept is relative and thus scholars have viewed it from different perspectives. Todaro and Smith (2003) see economic growth as increase in the capacity of an economy to produce goods and services compared from one period to another or a positive change in the level of production of goods and services by a country over a period of time also an increase in living standard, improvement in societal wellbeing.
Old And New Theories Of Economic Growth (Ii Part)
Montenegrin Journal of Economics, 2006
In this article an attempt has been made to give comparative analysis of old and new theory of economic growth. The field of economic growth has became again very dynamic and very interesting after appearance of seminal Romer's 1986 and Lucas's 1988 articles, which initiated so called new theory of economic growth, sometime termed as theory of endogenous technological progress. This new theory, in some very important issues, stands in a sharp contrast with the old neoclassical version of theory of economic growth, which similarly can be termed as the theory of exogenous technological progress Apart from the introduction and the concluding section, core of the article is presented in four sections. In first of them exposition of old version of neoclassical growth theory is given. In the following 3 sections survey of new theory is given. Version that eliminates assumption of diminishing returns to capital is discussed first. Than, version that uses human capital as engine of growth is presented. After that, models that use R&D as engine of growth is discussed. Models with spillovers from international trade are also shortly presented.
Economic Growth Theories: A Literature Review
2020
La croissance économique a été toujours au centre d'intérêt des chercheurs depuis plusieurs siècles. Ainsi, l'étude des facteurs qui la génère et qui l'impact ne cessent de se développer jusqu'à nos jours. Les théories de la croissance économique se sont développées au fil du temps par plusieurs auteurs qui ont marqué l'histoire. Parmi lesquels on cite : Smith, Ricardo, Malthus, Marx, Schumpeter, Keynes, Harrod, Domar, Solow, Romer, Lucas et Barro. Le présent article essaie de présenter une revue de littérature synthétique qui présente les théories de croissance économique. Ces dernières, se classent généralement sous deux groupes, à savoir : Les théories traditionnelles (les théories classiques, la théorie de Schumpeter, la théorie de Keynes, les théories post-Keynésiennes et les théories néoclassiques) et les théories endogènes de la croissance. Ces nouvelles théories de la croissance, sont caractérisées par une grande diversité des sources de croissance, dont ...
There is an important change in the economic growth literature since the 1980's. New growth theories are in ascendency. This shift also changed the scope in the development economics. Till late 1970's, development economics was built upon aggregate demand and policy oriented-Keynesian macroeconomic models. This paradigm shift in growth macroeconomics, replaced development economics with market and productivity oriented general equilibrium theories. In this article, this ''new development economics'' is questioned, whether it really is compatible with the needs of the developing countries and if it can form a functioning development economics.
Exploring the Process of Economic Growth
This paper is intended as an introduction to the study of economic growth. It attempts to convey an understanding of the various constituent elements of the process of growth, and to show how they work. It also attempts to give readers an idea of the quantitative magnitudes of these various growth components --how important they have been historically, and what sort of orders of magnitude we can reasonably expect (or hope) them to attain under various future scenarios.