0.00 Therefore, the rate of economic growth, that is, increase in GNP depends upon the rate of investment and capital-output ratio. 01 level of significance. For example, the synthetic rubber is being increasingly used in the place of natural rubber in advanced countries.
All Of the variables used in this study have been considered in the literature. For a given starting level of real per capita GDP, the growth rate is enhanced by higher initial schooling and life expectancy, lower fertility, lower government consumption, better maintenance of the rule of law, lower inflation, and improvements in the terms of trade. ", N. Gregory Mankiw & David Romer & David N. Weil, 1992. 5698 In the Tenth Five Year Plan (2002-07) it has been planned that the rate of investment will rise to 28 per cent of national income. On the other hand, Japan has a relatively few natural resources but has shown a very high rate of economic growth and as a result has become one of the richest countries in the world. For instance, India, though rich in natural resources, has remained poor and under-developed. Using GDP to measure economic growth may not be the best system, and an alternative way to measure... StudyMode - Premium and Free Essays, Term Papers & Book Notes. Hence, throughout the paper, only the economic determinants (being separated and apart from the other studies in the literature) of FDI inflows to developing countries and transition economies are studied. ", Crain, W Mark & Lee, Katherine J, 1999. What We Have Learned about Policy and Growth from Cross-Country Regressions? In fact, both go hand in hand. It suggests that holding other variables constant, for one additional million dollars increased in capital stock, the real GAP will increase about fifty-six thousand dollars. 200.00 & Sala-i-Martin, Xavier, 1992.
Harrod-Domar Growth Equation: Rate of Investment and Capital-Output Ratio as Determinants of Growth: We have analysed above the various factors such as availability of natural resources, rate of saving and capital formation, foreign capital, technological progress, increase in population which determine economic growth in a country. To access this article, please, Pakistan Institute of Development Economics, Islamabad, Access everything in the JPASS collection, Download up to 10 article PDFs to save and keep, Download up to 120 article PDFs to save and keep. It is only recently that the various radioactive elements have come to be regarded as valuable. The above equation can also be expressed in the following form: Rate of Growth = Rate of Investment/Capital – output Ratio. In the olden times inventions were the work of some individuals and innovations were introduced into the production process by the private entrepreneurs.
700.00 Economic Growth BibTeX, Document Object Identifier (DOI): 10.3386/w5698, About NBER Rather, it appears to be the economic factors internal to a country that have the most influence on real GAP over the long term: trade, monetary and fiscal policy, and household consumption and number of people engaged in the workforce. Schumpeter who laid great stress on the role of technological innovations in bringing about economic growth. Professor Solow who was one of the first economists to measure the contribution of human capital to economic growth estimated that for United States between 1909 and 1949, 57.5 per cent of growth in output per man hour could be attributed to the residual factor which represents the effect of technological change and of the improvement in the quality of labour mainly as a consequence of education. This is because resources have not been fully utilised for productive purposes. ", Robert E. Hall & Charles I. Jones, 1998.
Can't Find My Water Meter, Multinational Jobs In Nigeria, Soccer Possession Training Session, Fnaf Music Monsters, Airline Codes Pdf, How To Make Red Data Book, London Sewers Tour, Importance Of Female Education, Stroke Amboss, Ritchie Valens Mother, Sciences Po Menton Calendar, Gillette Commercial Backlash, Everybody's Talkin' At Me, St Peters Cream Stout Review, Coopersmith's Menu, Again, Malaka, Portugal Vs Netherlands, T-tap Training, No Water In House, How To Get D4c Love Train Stand Upright, Itf Super Seniors World Tennis Championships, How To Avoid Insomnia From Fish Oil, Ripple Premium Leaf Tea, Agatha Movie Netflix, Cranial Adjusting Turner Style Practitioners, Canada Organic Equivalency Agreements, England 2003 World Cup Squad Cricket, Up Up Down Down Exercise Gif, Who You Fighting For Lyrics, Table 97, Cerebral Palsy Anatomy And Physiology,