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A population-macroeconomic growth model for currently developing countries

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  • Momota, Akira

Abstract

This paper constructs a theoretical model that predicts, as observed in some currently developing countries, that the average school enrollment ratio may fall even when the average fertility rate declines. Unlike existing models, the current analysis indicates that economic growth may slow down when a fertility transition starts. Asymmetric behavior with respect to fertility and education between households stemming from income inequality plays an important role in generating this result. We examine the implications of an education subsidy policy. Contrary to intuition, in some circumstances this policy may decrease the average school enrollment ratio and future economic growth.

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  • Momota, Akira, 2009. "A population-macroeconomic growth model for currently developing countries," Journal of Economic Dynamics and Control, Elsevier, vol. 33(2), pages 431-453, February.
    • Handle: RePEc:eee:dyncon:v:33:y:2009:i:2:p:431-453
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    2. Kamhon Kan & Myoung‐Jae Lee, 2018. "The Effects Of Education On Fertility: Evidence From Taiwan," Economic Inquiry, Western Economic Association International, vol. 56(1), pages 343-357, January.
    3. Jayanta Sarkar & Dipanwita Sarkar, 2016. "Why Does Child Labor Persist With Declining Poverty?," Economic Inquiry, Western Economic Association International, vol. 54(1), pages 139-158, January.
    4. Boucekkine, R. & Martínez, B. & Ruiz-Tamarit, J.R., 2013. "Growth vs. level effect of population change on economic development: An inspection into human-capital-related mechanisms," Journal of Mathematical Economics, Elsevier, vol. 49(4), pages 312-334.
    5. Amin Gharipour & Morteza Sameti & Ali Yousefian, 2010. "A Comparative Approximate Economic Behavior Analysis of Support Vector Machines and Neural Networks Models," Iranian Economic Review (IER), Faculty of Economics,University of Tehran.Tehran,Iran, vol. 15(2), pages 17-40, spring.
    6. Kuwahara, Shiro, 2013. "Does international knowledge spillover always lead to a positive trickle down?," Journal of the Japanese and International Economies, Elsevier, vol. 27(C), pages 48-63.

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