Homework #1-Answer
How to measure Development
(a) McDonalds operates in various countries. It has been found that the relative price of a
Big Mac is a better guide to the overall cost of living than e
Scale effects
Lucas:
Human capital accumulation:
h 1 u
h
Romer:
Research Sector:
A H a
A
Charles I Jones, "Time Series Tests of
Endogenous Growth Models;" QJE, v. 110,
1995, 495-525
Mankiw, Romer and
Stochastic Models of Technological Change
Part A
NYU-Stern Mini-course
September, 2011
Robert E. Lucas, Jr.
These notes are based on
Fernando Alvarez, Francisco Buera, and Robert E. Lucas, Jr. Models
Alternative Specification
A gH i cH i max j A j A i t
A
A i t
A m 0e gH m t A i t
gH i cH i
A i t
A i t A i 0 A m 0e gH i cH i t A m 0e gH m
cH i
cH i gH m gH i
A i 0 A m 0 gH i cH i gH m t
e
ECON-UA 323: Economic Development
Lecture 3 - Solow Model
Martin Rotemberg, NYU
Spring 2017
Today
Last class we covered some early theories of growth
Malthus: Growth is impossible, because well just
ECON-UA 323: Economic Development
Lecture 2 - The Evolution of Thought on Poverty Reduction,
Development and Growth
Martin Rotemberg, NYU
Spring 2017
Today
Last class we covered some facts about grow
ECON-UA 323: Economic Development
Lecture 1 - Introduction
Martin Rotemberg, NYU
Spring 2017
Today
Course Structure: Overview
A quick overview of economic development
The course
Material is designe
ECON-UA 323: Economic Development
Lecture 14 - Risk and Insurance
Martin Rotemberg, NYU
Spring 2017
Where we are
Per capita GDP
y = Ak h1
This week: k
Last class (wrapping up today): Credit
Today:
ECON-UA 323: Economic Development
Lecture 13 - Credit
Martin Rotemberg, NYU
Spring 2017
Where we are
Per capita GDP
y = Ak h1
Before the midterm, looked at h
health
education
What are the returns
ECON-UA 323: Economic Development
Lecture 15 - Savings
Martin Rotemberg, NYU
Spring 2017
Where we are
Per capita GDP
y = Ak h1
This week: k
Last class (wrapping up today): Risk
Today: Savings
Shar
January 20, 2017
Course Title:
Introduction to Economic Development
Office:
19 West 4th Street, RM 830
E-mail:
[email protected];
For all questions, you should email: [email protected] , titled: ECON DEV SP201
ECON-UA 323: ECONOMIC DEVELOPMENT
Final Paper
Due: April 25, 2017
Complementarities (and therefore poverty traps) arise in a variety of situations. In class, we have
discussed several, including the r
In Aghion-Howitt book, page 57:
Poisson Process modeled as:
Cumulative distr. for event before T
FT 1 e T
fT e T Density
gx prob. that x events occurs in the inteval
x e
x!
1
Final product:
y Ax ,
Some Models of Technological Change
Part B
NYU-Stern Mini-course
September, 2011
Robert E. Lucas, Jr.
These notes are based mainly on
Robert E. Lucas, Jr. Ideas and Growth. Economica, 76 (2009): 1-19
0.1
Lucas 1988 JME-On the Mechanics of Development
max
c(t)
Z
1
c
0
subject to:
1
1
N (t) et dt
A
N c + K = AK N 1 ,
=
A
1
1
c
H =N
+ AK N 1 N c
1
where c is consumption, N is labor force that grows
Homework #2-Answer
Neoclassical Model:
1. In class we learn the Romer endogenous growth model and Solow Model. Where in the Romer
model there technological spillovers are present but in Solow model th
ECON-UA 323: ECONOMIC DEVELOPMENT
Assignment # 1
Due: February 2, 2017
[Use the spreadsheet posted on the Classes page to solve these questions1]. For the purpose of
this assignment, pick one developi
Name: _
ECON-UA 323: ECONOMIC DEVELOPMENT
Assignment # 2
Due: February 16, 2017
Please submit a (stapled) hardcopy of this assignment at the start of class on the due date. Please
show your work where
Name: _
ECON-UA 323: ECONOMIC DEVELOPMENT
Assignment # 4
Due: March 30, 2017
Please submit a (stapled) hardcopy of this assignment at the start of class (12:30pm) on the due
date. Please show your wor
Intro To Economic Development
Prof. Ishaq Nadiri
Homework #2
Due Mar 9th 2017
Directions:
Provide a 3-4 sentences answer to each question by drawing on the material covered in
the textbook and in clas
Homework #3
Due April 20th 2017
Directions:
Provide a 3-4 sentences answer to each question by drawing on the material covered in the textbook and in
class. Use mathematical illustration if needed. Wh
BARRO and SALA-I-MARTIN: JOEG,1997
Production
Ni
Y i A i L i 1 X ij
i 1, 2
j1
Output Expenditures
Ni
Y i C i X ij RD
j1
C i and X ij require one unit of Y i . Invention
of new variety requires i .
As
Notes on Control Theory
t
max ft, xt , ut dt
t
1
#
0
x gt, xt , ut
t 0 , t 1 , xt 0 x 0 fixed, t 1 can be .
xt 1 may be free or fixed
The choice variable is a function ut which
is piecewise continuou
More on Convergence
Y fK, HL , L 1, H0 ,
Ht e t , y i
y i t
y i 0
Y i t
Ht
Y i 0
y i T
n
y i 0
1 n Y i T
T
Y i 0
Y i t
Ht
K
f H , L fk, L
Y i t
e t
Y i 0
Y i t t
e
Y i 0
Y i T
n
Y i
1
ROMER-JPE 1990
x(i) are intermediate goods. Capital is given by:
K=n
ZA
x (i) di
0
Note that the sum of x (i) does not add up to K : there is a proportionality
factor n: Final good production:
Y = H
The Lucas-Baseline Model Described: Poisson arrivals
What happens in a meeting?
Agent (a draw z from Fz, t meets another, z .
Not symmetric: z is active, learns from meeting, but z is passive.
If z