IDEAS home Printed from https://ideas.repec.org/a/sae/envirc/v34y2016i2p356-363.html
   My bibliography  Save this article

Creative capital accumulation and the advancement of India's creative economy

Author

Listed:
  • Amitrajeet A Batabyal
  • Hamid Beladi

Abstract

Despite the relevance of Richard Florida's ideas about the role of creative capital in promoting the creative economy of developing nations like India, there is no theoretical research on these topics in the extant literature. Therefore, we focus on an arbitrary region in a developing country like India and then analyze the creative capital accumulation decision faced by workers in this region who aspire to membership in the so-called creative class . Specifically, we compute the present discounted value of a worker's lifetime earnings as a function of the primitives of the problem. Next, we solve for the level of education that maximizes the lifetime earnings function. Finally, we describe how this optimal level of education is affected by changes in the lifespan of workers, the interest rate, and by the growth rate of the wage function.

Suggested Citation

  • Amitrajeet A Batabyal & Hamid Beladi, 2016. "Creative capital accumulation and the advancement of India's creative economy," Environment and Planning C, , vol. 34(2), pages 356-363, March.
    • Handle: RePEc:sae:envirc:v:34:y:2016:i:2:p:356-363
    DOI: 10.1177/0263774X15614663
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/0263774X15614663
    Download Restriction: no
    File URL: https://libkey.io/10.1177/0263774X15614663?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Kristina Vaarst Andersen & Høgni Kalsø Hansen & Arne Isaksen & Mika Raunio, 2010. "Nordic City Regions in the Creative Class Debate—Putting the Creative Class Thesis to a Test," Industry and Innovation, Taylor & Francis Journals, vol. 17(2), pages 215-240.
    2. David Mcgranahan & Timothy Wojan, 2007. "Recasting the Creative Class to Examine Growth Processes in Rural and Urban Counties," Regional Studies, Taylor & Francis Journals, vol. 41(2), pages 197-216.
    3. Richard Florida & Charlotta Mellander & Kevin Stolarick, 2008. "Inside the black box of regional development: human capital, the creative class and tolerance," Journal of Economic Geography, Oxford University Press, vol. 8(5), pages 615-649, September.
    4. Hatcher, William & Oyer, Matt & Gallardo, Roberto, 2011. "The Creative Class and Economic Development as Practiced in the Rural U.S. South: An Exploratory Survey of Economic Development Professionals," The Review of Regional Studies, Southern Regional Science Association, vol. 41(2,3), pages 139-159, Fall, Win.
    5. Reza Oladi & Hamid Beladi, 2008. "Is Regionalism Viable? A Case for Global Free Trade," Review of International Economics, Wiley Blackwell, vol. 16(2), pages 293-300, May.
    6. Peter J. Klenow & Mark Bils, 2000. "Does Schooling Cause Growth?," American Economic Review, American Economic Association, vol. 90(5), pages 1160-1183, December.
    7. Nathan, Max, 2007. "The Wrong Stuff? Creative Class Theory and Economic Performance in UK Cities," MPRA Paper 29486, University Library of Munich, Germany.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Amitrajeet A. Batabyal & Peter Nijkamp, 2019. "Creative capital, information and communication technologies, and economic growth in smart cities," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 28(2), pages 142-155, February.
    2. Shatalov, S. (Шаталов, С.), 2015. "The Experience of Forming the Institute of Legal Responsibility for Economic Crimes in the United States [Опыт Формирования Института Юридической Ответственности За Экономические Преступления В Сша," Published Papers mn39, Russian Presidential Academy of National Economy and Public Administration.
    3. Amitrajeet A. Batabyal & Karima Kourtit & Peter Nijkamp, 2019. "Using local public goods to attract and retain the creative class: A tale of two cities," Regional Science Policy & Practice, Wiley Blackwell, vol. 11(3), pages 571-581, August.
    4. Amitrajeet A. Batabyal & Peter Nijkamp, 2018. "A Two-Sector Model of Creative Capital Driven Regional Economic Growth," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 16(3), pages 831-840, September.
    5. Batabyal, Amitrajeet A. & Beladi, Hamid, 2018. "Artists, engineers, and aspects of economic growth in a creative region," Economic Modelling, Elsevier, vol. 71(C), pages 214-219.
    6. Batabyal, Amitrajeet & Beladi, Hamid, 2021. "On the Existence of an Equilibrium in Models of Local Public Good Use by Cities to Attract the Creative Class," MPRA Paper 105196, University Library of Munich, Germany, revised 07 Jan 2021.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Alden Porter & Amitrajeet A. Batabyal, 2016. "Physical capital mobility, the educational and quality aspects of creative capital, and output production," Regional Science Policy & Practice, Wiley Blackwell, vol. 8(4), pages 167-175, November.
    2. Alina Maria Pavelea & Bogdana Neamțu & Peter Nijkamp & Karima Kourtit, 2021. "Is the Creative Class a Game Changer in Cities? A Socioeconomic Study on Romania," Sustainability, MDPI, vol. 13(11), pages 1-16, May.
    3. Emanuela Marrocu & Raffaele Paci, 2011. "Education or just Creativity: what matters most for economic performance?," ERSA conference papers ersa11p199, European Regional Science Association.
    4. Christoph Alfken, 2015. "Ich will nicht nach Berlin! – Life course analysis of inter-regional migration behaviour of people from the field of design and advertising," Environment and Planning A, , vol. 47(10), pages 2187-2203, October.
    5. Roberto Antonietti, 2011. "From creativity to innovativeness: micro evidence from Italy," Openloc Working Papers 1117, Public policies and local development.
    6. Usman, Umer & Batabyal, Amitrajeet A., 2014. "Goods production, learning by doing, and growth in a region with creative and physical capital," International Review of Economics & Finance, Elsevier, vol. 33(C), pages 92-99.
    7. Mark D. Partridge & M. Rose Olfert, 2011. "The Winners' Choice: Sustainable Economic Strategies for Successful 21st-Century Regions," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 33(2), pages 143-178.
    8. Lily Kiminami & Akira Kiminami & Shinichi Furuzawa, 2018. "Impacts of multi-functionality of urban agriculture on the CCs in Japan," Asia-Pacific Journal of Regional Science, Springer, vol. 2(2), pages 507-527, August.
    9. Eckhardt Bode & Lucia Perez Villar, 2017. "Creativity, education or what? On the measurement of regional human capital," Papers in Regional Science, Wiley Blackwell, vol. 96, pages 51-67, March.
    10. Sara Cruz & Aurora Teixeira, 2015. "The neglected heterogeneity of spatial agglomeration and co-location patterns of creative employment: evidence from Portugal," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 54(1), pages 143-177, January.
    11. Emanuela Marrocu & Raffaele Paci, 2013. "Regional Development and Creativity," International Regional Science Review, , vol. 36(3), pages 354-391, July.
    12. Margaret Olfert & Mark Partridge, 2011. "Creating the Cultural Community: Ethnic Diversity vs. Agglomeration," Spatial Economic Analysis, Taylor & Francis Journals, vol. 6(1), pages 25-55.
    13. Amitrajeet A. Batabyal & Hamid Beladi, 2015. "The importance of creative capital for economic growth in the presence of learning by doing," Regional Science Policy & Practice, Wiley Blackwell, vol. 7(4), pages 187-197, November.
    14. Amitrajeet Batabyal & Hamid Beladi, 2014. "A model of trade between creative regions in the presence of sector specific learning by doing," Journal of Evolutionary Economics, Springer, vol. 24(3), pages 573-585, July.
    15. Donovan, Pierce J. & Batabyal, Amitrajeet A., 2015. "On economic growth and investment income taxation in a creative region," International Review of Economics & Finance, Elsevier, vol. 38(C), pages 67-72.
    16. Niclas Berggren & Mikael Elinder, 2012. "Is tolerance good or bad for growth?," Public Choice, Springer, vol. 150(1), pages 283-308, January.
    17. Niclas Berggren & Therese Nilsson, 2013. "Does Economic Freedom Foster Tolerance?," Kyklos, Wiley Blackwell, vol. 66(2), pages 177-207, May.
    18. Batabyal, Amitrajeet A. & Yoo, Seung Jick, 2018. "Schumpeterian creative class competition, innovation policy, and regional economic growth," International Review of Economics & Finance, Elsevier, vol. 55(C), pages 86-97.
    19. Möller Joachim & Tubadji Annie, 2009. "The Creative Class, Bohemians and Local Labor Market Performance: A Micro-data Panel Study for Germany 1975–2004," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 229(2-3), pages 270-291, April.
    20. Ann Marie Fiore & Linda S. Niehm & Jessica L. Hurst & Jihyeong Son & Amrut Sadachar & Daniel W. Russell & David Swenson & Christopher Seeger, 2015. "Will They Stay or Will They Go? Community Features Important in Migration Decisions of Recent University Graduates," Economic Development Quarterly, , vol. 29(1), pages 23-37, February.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:envirc:v:34:y:2016:i:2:p:356-363. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.