IDEAS home Printed from https://ideas.repec.org/a/taf/jeduce/v56y2025i2p154-170.html
   My bibliography  Save this article

Exploring endogenous growth through simulation

Author

Listed:
  • Ariel Shwayder

Abstract

Undergraduate and master’s-level macroeconomics courses often teach economic growth using the standard exogenous growth (Solow-Swan) model, which can lead to discussions about the importance of productivity. Instructors wishing to deepen the conversation may want to discuss productivity growth sources and introduce endogenous growth models. The author of this article presents a spreadsheet-based simulation exercise of a two-sector endogenous growth model. This simulation allows students to explore an endogenous growth model without having to understand the algebraic details. Students can adjust model parameters and examine the impact on short-run and long-run levels and growth rates of output-per-worker and consumption-per-worker. Classroom discussion can then focus on economic reasoning about the importance of productivity, research into productivity, and the short-run versus long-run tradeoffs present in much of macroeconomics.

Suggested Citation

  • Ariel Shwayder, 2025. "Exploring endogenous growth through simulation," The Journal of Economic Education, Taylor & Francis Journals, vol. 56(2), pages 154-170, April.
    • Handle: RePEc:taf:jeduce:v:56:y:2025:i:2:p:154-170
    DOI: 10.1080/00220485.2025.2453430
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/00220485.2025.2453430
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/00220485.2025.2453430?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
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    More about this item

    Statistics

    Access and download statistics

    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:taf:jeduce:v:56:y:2025:i:2:p:154-170. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/VECE20 .

    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.