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Additional Endogenous Growth Models

In: Economic Growth

Author

Listed:
  • Alfonso Novales

    (Complutense University of Madrid)

  • Esther Fernández

    (Complutense University of Madrid)

  • Jesús Ruiz

    (Complutense University of Madrid)

Abstract

We present in this chapter some additional mechanisms by which endogenous growth arises. We start with an economy in which technological progress shows up in the form of the number of varieties of products. After that, a model of technological diffusion between two countries, a leader in innovation and a follower, that adopts the innovations developed in the leading country. We then present a model economy with creative destruction à la Schumpeter in which growth is driven endogenously by attempts to improve the quality of existing goods through innovation. We close with an important model, that of a two-sector economy in which human and physical capital accumulate over time, and where time devoted to education plays an important role.

Suggested Citation

  • Alfonso Novales & Esther Fernández & Jesús Ruiz, 2022. "Additional Endogenous Growth Models," Springer Texts in Business and Economics, in: Economic Growth, edition 3, chapter 7, pages 331-409, Springer.
    • Handle: RePEc:spr:sptchp:978-3-662-63982-5_7
    DOI: 10.1007/978-3-662-63982-5_7
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