宏观经济学课件(英文版).pptVIP

* The Production Function * Growth Accounting * Growth Accounting * Growth Accounting * The Solow Residual ΔA/A in equation (3.3) is often called total factor productivity growth or TFP growth. This concept comes from Solow (1957) and is also often called the Solow residual. * The Cobb-Douglas Production Function * The Cobb-Douglas Production Function * The Cobb-Douglas Production Function * The Solow Growth Model The Solow model was created during the 1950s by the MIT economist Robert Solow. This research led eventually to a Nobel Prize in 1987 for “contributions to the theory of economic growth.” Neoclassical growth model. Ramsey model. * The Solow Growth Model Assumption 1: the labor input, L, equals the labor force, which is the number of persons who are seeking work. labor force, L = (labor force/population) ? population. (labor force/population) is the labor-force participation rate. * The Solow Growth Model Assumption 2: this participation rate is constant. Growth rate of labor input, L, equals the growth rate of the population * The Solow Growth Model Assumption 3: the model ignores a role for government, so that there are no taxes, public expenditures, government debt, or money. Assumption 4: the model assumes that the economy is closed, so that there is no international trade in goods and services or in financial assets. * The Solow Growth Model ΔA/A = 0 ΔY/Y = α·(ΔK/K) + (1-α)·(ΔL/L). * The Solow Growth Model y=Y/L * The Solow Growth Model k=K/L * The Solow Growth Model Δy/y = α·(Δk/k) * The Growth Rate of the Capital Stock Depend on the economy’s saving, which is the income that is not consumed. Assumption 5: households divide up their income in a fixed proportion s to saving and 1-s to consumption, C. * The Growth Rate of the Capital Stock Y = C + sY (income is consumed or saved) Y = C + I (output is consumed or invested). C + sY = C + I. sY = I. * The Growth Rate of the Capital Stock Assumption 6: δ represents the rate of deprecia