scholarly journals THE DECADES‐LONG DISPUTE OVER SCALE EFFECTS IN THE THEORY OF ECONOMIC GROWTH

2019 ◽  
Vol 33 (5) ◽  
pp. 1359-1388
Author(s):  
Steven Bond‐Smith
Keyword(s):  
Economic Growth ◽  
Scale Effects

On the Effectiveness of Growth- Enhancing Policies in a Model of Growth Without Scale Effects

2002 ◽  
Vol 3 (3) ◽  
pp. 339-346 ◽  
Author(s):  
Lutz G. Arnold
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Human Capital ◽  
Population Growth ◽  
Capital Accumulation ◽  
Scale Effects ◽  
Growth Models ◽  
Empirical Studies ◽  
Human Capital Accumulation ◽  
Accelerate Growth

Abstract Standard R&D growth models have two disturbing properties: the presence of scale effects (i.e., the prediction that larger economies grow faster) and the implication that there is a multitude of growth-enhancing policies. Recent models of growth without scale effects, such as Segerstrom's (1998), not only remove the counterfactual scale effect, but also imply that the growth rate does not react to any kind of economic policy. They share a different disturbing property, however: economic growth depends positively on population growth, and the economy cannot grow in the absence of population growth. The present paper integrates human capital accumulation into Segerstrom's (1998) model of growth without scale effects. Consistent with many empirical studies, growth is positively related not to population growth, but to investment in human capital. And there is one way to accelerate growth: subsidizing education.

scholarly journals Notes on Economic Growth with Scale Effects: Is Depopulation Compatible with Growth?

2015 ◽  
Vol 05 (02) ◽  
pp. 169-178 ◽  
Author(s):  
Masao Nakagawa ◽  
Asuka Oura ◽  
Yoshiaki Sugimoto
Keyword(s):  
Economic Growth ◽  
Scale Effects

Is Population Growth Bad for the Environment?

2017 ◽  
Vol 17 (3) ◽  
Author(s):  
Xiangbo Liu ◽  
Ting Levy ◽  
Chi-Chur Chao ◽  
Mengbo Zhang
Keyword(s):  
Economic Growth ◽  
Growth Rate ◽  
Population Growth ◽  
Environmental Degradation ◽  
Scale Effects ◽  
Sustainable Growth ◽  
Social Planner ◽  
Skilled Labor ◽  
Unskilled Labor ◽  
Sustainable Growth Rate

AbstractThe relationship between economic growth and environmental degradation has been central to the debate over sustainable growth. This paper uses utility growth as an index of sustainable growth, which is positively related to economic growth and negatively related to environmental degradation. Skilled and unskilled labor are used in this economy and the population is growing over time generating growth without scale effects. The pollution growth rate is higher in a decentralized economy, whereas the sustainable growth rate is higher in an economy with a social planner. An increased rate of population growth is associated with a higher sustainable growth rate in both economies. A higher share of skilled labor is associated with a higher sustainable growth rate in a decentralized economy, while the effect of a higher share of skilled labor is ambiguous in an economy with a social planner.

scholarly journals Policy Implication of Economic-Environmental Linkage in Korea

2003 ◽  
Vol 18 (1) ◽  
pp. 55-67
Author(s):  
Yong Sung Park
Keyword(s):  
Economic Growth ◽  
Industrial Structure ◽  
Scale Effects ◽  
Economic Activities ◽  
Environmental Implications ◽  
Environmental Consequences ◽  
Korean Economy ◽  
State Of The Environment ◽  
The Relationship ◽  
Positive Pattern

While the rapid growth of the Korean economy has been extensively researched, relatively little attention has been paid the environmental consequences. The first part of the papaer reviewed the evidence on the relationship between economic growth and the state of the environment within the context of the interdependence between the three economic spheres. The latter part of paper identified the environmental implications of economic growth for Korea. Based on the environmental Kuznet's Curve(EKC) test, Korean economy during the past decades appears to be broadly consistent with a positive pattern of interaction between economic growth, industrialization and the environment. Even if economic growth in Korea contributes to slightly positive structural and technological effects that offset the negative scale effects of local air pollutants, economic growth does not address the cumulative effects of pollution. In this context, Korea needs a policy for structural and technological changes that "dematerialization" and "depollute" economic activities. Such a policy will induce profound changes in the energy intensity industrial structure.

scholarly journals Environmental income in economic growth of a large open economy for the era of eco-urbanization

2019 ◽  
Vol 1 (1) ◽  
pp. 32-56
Author(s):  
Zhan Wang ◽  
Xiangzheng Deng ◽  
Gang Liu
Keyword(s):  
Economic Growth ◽  
Open Economy ◽  
Scale Effects ◽  
Renewable Resource ◽  
Resource Consumption ◽  
Potential Cost ◽  
Content Type ◽  
Environmental Improvement ◽  
Domestic Capital ◽  
Environmental Income

Purpose The purpose of this paper is to show that the environmental income drives economic growth of a large open country. Design/methodology/approach The authors detect that the relative environmental income has double effect of “conspicuous consumption” on the international renewable resource stock changes when a new social norm shapes to environmental-friendly behaviors by using normal macroeconomic approaches. Findings Every unit of extra demand for renewable resource consumption increases the net premium of domestic capital asset. Even if the technology spillovers are inefficient to the substitution of capital to labor force in a real business cycle, the relative income with scale effect increases drives savings to investment. In this case, the renewable resource consumption promotes both the reproduction to a higher level and saving the potential cost of environmental improvement. Even if without scale effects, the loss of technology inefficient can be compensated by net positive consumption externality for economic growth in a sustainable manner. Research limitations/implications It implies how to earn the environment income determines the future pathway of China’s rural conversion to the era of eco-urbanization. Originality/value We test the tax incidence to demonstrate an experimental taxation for environmental improvement ultimately burdens on international consumption side.

Scale effects in Schumpeterian models of economic growth

1999 ◽  
Vol 9 (2) ◽  
pp. 157-185 ◽  
Author(s):  
Elias Dinopoulos ◽  
Peter Thompson
Keyword(s):  
Economic Growth ◽  
Scale Effects

scholarly journals Scale Effects and Economic Growth

2007 ◽  
Vol 213 (1-2) ◽  
pp. 9-31
Author(s):  
Tomasz Tokarski
Keyword(s):  
Economic Growth ◽  
Scale Effects
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