Week 3-Notes - over time-After 1950, Japan increased from...

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Week 3 – Notes - Ghana and South Korea started with the same income per capita in 1960 - Increase in education = increase in human capital - Labor supply is the least important in the growth in output (not sustainable); # of hours worked is decreasing - Labor and capital have diminishing returns; the more workers per machine = output increase, decreasing over time - Growth in output is 1:1 with technology - Between 1913-1950, Capital was the main engine of growth (U.S. always different – increase in technology); between 1.5%-3.0% average growth rate; each element changes
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Unformatted text preview: over time-After 1950, Japan increased from 2.2 9.0-After WWII, countries who were heavily involved in the war beginning to rebuild; technology becomes the main engine of growth-Importance of labor is decreasing mainly in the European countries-1973-1992, decrease in productivity; main engine of growth goes back to capital except for the U.S. (labor)-After 1992, back to increase in technology-Less technology in developed countries; capital remains main engine of growth-Steady state = capital per worker is not increasing...
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This note was uploaded on 10/02/2010 for the course INTB 3353 taught by Professor Prodan during the Spring '10 term at University of Houston-Victoria.

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