Evolution of the Relative Price of Goods and Services in a Neoclassical Model of Capital Accumulation

2004 ◽  
Author(s):  
Vladimir Klyuev
Keyword(s):  
Capital Accumulation ◽  
Relative Price ◽  
Neoclassical Model ◽  
Goods And Services

CROSS-BORDER TOURISM FROM BRUNEI DARUSSALAM TO EASTERN MALAYSIA: AN EMPIRICAL ANALYSIS

2002 ◽  
Vol 47 (01) ◽  
pp. 65-87 ◽  
Author(s):  
KWABENA A. ANAMAN ◽  
ROSE AMINAH ISMAIL
Keyword(s):  
Regression Analysis ◽  
Perceived Quality ◽  
Personal Income ◽  
Relative Price ◽  
Factors Affecting ◽  
Goods And Services ◽  
Cross Border ◽  
Brunei Darussalam ◽  
Significant Factors

We analysed the factors influencing the level of cross-border tourism from Brunei Darussalam to Eastern Malaysia based on a random survey of 675 Bruneian residents returning from land and sea trips to Eastern Malaysia and using simple statistical and multiple regression analysis. The results revealed that the age of the respondents, personal income, perceived quality of Eastern Malaysia as a better place to rest and relax, perceived quality of goods and services in Eastern Malaysia, use of alcohol by respondents and having family members and friends living in Eastern Malaysia were significant factors affecting the number of visits to Eastern Malaysia. This analysis was based on visits over the 12-month period prior to the survey, a period of relative price stability. Regression analysis of personal expenditures on goods and services of respondents during their most recently completed trip indicated that personal income, travelling with friends, number of days spent on the trip, perception of Eastern Malaysia as a better place to rest and relax and use of public transport were the significant factors affecting expenditures. We estimated that Bruneian residents spent about B$426 million a year on goods and services while visiting Eastern Malaysia, and this amount accounted for roughly 5.7% of Brunei's gross domestic product (GDP) in the year 2000.

scholarly journals Optimal Taxation in the Solow-Uzawa Growth Model with Public Goods

2020 ◽  
Vol 10 (3(S)) ◽  
pp. 1-11
Author(s):  
Wei-Bin Zhang
Keyword(s):  
Public Sector ◽  
Growth Model ◽  
Capital Accumulation ◽  
Optimal Taxation ◽  
Tax Rates ◽  
The Public ◽  
Model Studies ◽  
Goods And Services ◽  
The Government ◽  
Parameter Values

This paper makes an original contribution to the literature of optimal taxation by introducing Ramseytaxation to the Solow-Uzawa growth model to examine genuine dynamic interdependence between growth andoptimal taxation. We introduce a public sector to the Uzawa two-sector growth model. The public sector suppliespublic goods and services. The government financially supports by the public sector by collecting taxes on thehousehold’s wage income and wealth income under the assumption that the utility level is maximized. We derivethe optimal taxation rule and construct the dynamics of the national economy. The model studies a nonlineardynamics between national and sectoral growth, economic structural change, wealth/capital accumulation, andoptimal tax rates in perfect competitive markets with the government intervention. The model has a uniquestable equilibrium point with the chosen parameter values. We carry out comparative dynamic analysis toanalyze effects of exogenous changes in a few parameters on the transitional process and long-term economicstructure of the economic dynamics.

scholarly journals Investment Demand and Structural Change

Econometrica ◽  
2021 ◽  
Vol 89 (6) ◽  
pp. 2751-2785 ◽  
Author(s):  
Manuel García-Santana ◽  
Josep Pijoan-Mas ◽  
Lucciano Villacorta
Keyword(s):  
Capital Accumulation ◽  
Developing Economies ◽  
Value Added ◽  
Relative Price ◽  
Investment Rate ◽  
Investment Demand ◽  
Consumption Goods ◽  
Sectoral Composition ◽  
The One ◽  
Investment Goods

We study the joint evolution of the sectoral composition and the investment rate of developing economies. Using panel data for several countries in different stages of development, we document three novel facts: (a) the share of industry and the investment rate are strongly correlated and follow a hump‐shaped profile with development, (b) investment goods contain more domestic value added from industry and less from services than consumption goods do, and (c) the evolution of the sectoral composition of investment and consumption goods differs from the one of GDP. We build a multi‐sector growth model to fit these patterns and provide two important results. First, the hump‐shaped evolution of investment demand explains half of the hump in industry with development. Second, asymmetric sectoral productivity growth helps explain the decline in the relative price of investment goods along the development path, which in turn increases capital accumulation and promotes growth.

China may yet revive Western economies

2016 ◽  
Keyword(s):  
Economic Growth ◽  
Capital Accumulation ◽  
Global Financial Crisis ◽  
Labour Productivity ◽  
Commodity Prices ◽  
Content Type ◽  
Goods And Services ◽  
The World ◽  
Growth Prospects ◽  
Stimulus Package

Subject China's economic growth prospects. Significance After the 2008 global financial crisis, China's resilience thanks to Beijing's large and rapid stimulus package was credited with making China the engine of growth for the world economy. Today, China is seen as the opposite, with diverse economic ills across the world routinely blamed on China's slowdown. Impacts Investment in heavy industry will not rebound, but there is still ample scope for investment in construction related to urbanisation. Consumption will make the largest contribution to economic growth. The rate of capital accumulation will remain high for some years, boosting labour productivity further. With wages still rising, inflation in China will pick up once commodity prices stop falling. Inflation in China will feed into inflation in the West, while a more affluent China demands more goods and services.

scholarly journals Is India Really Competing with China on a Macro Economic Base

2016 ◽  
Vol 8 (11) ◽  
pp. 150
Author(s):  
Desti Kannaiah ◽  
Hemalatha J. N.
Keyword(s):  
Capital Accumulation ◽  
Global Economy ◽  
Poverty Reduction ◽  
Fold Increase ◽  
Asian Country ◽  
Total Production ◽  
Total Employment ◽  
Per Capita Gdp ◽  
Goods And Services ◽  
Per Capita

<p>Macroeconomics has been aptly defined as “the study of the major economic ‘totals’ or aggregates-- total production (GNP), total employment and unemployment, the average price level of all goods and services, the total money supply, and others” (Gordon, 1978). The word macro is derived from the Greek word macros meaning large</p><p>The economy of India has seen rapid growth in recent years. Spurred by good domestic demand, steady and significant reforms, lower crude prices and increased skilled labor India is the fastest growing economy among the BRICS nations. Another Asian country which is also in the fast lane with respect to macroeconomic growth is China. China’s growth has primarily been attributed to a sharp sustained increase in productivity accompanied by increase in capital accumulation, improved infrastructure and cheap labor force (Hu &amp; Khan, 1997).</p>Both India and China have emerged as significant forces in the global economy over the last two decades. Both countries are geographically very large and have a huge population. Both countries have also achieved remarkable rates of economic growth and poverty reduction since 1980,with India doubling its per capita GDP and China posting a seven fold increase in its per capita GDP (Bosworth &amp; Collins, 2008) .A PWC report titled “World in 2050” predicts China and India to be world leading powerhouse economies by 2050.

scholarly journals INFLASI DALAM PRESPEKTIF ISLAM (ANALISIS TERHADAP PEMIKIRAN AL-MAQRIZI)

2017 ◽  
Vol 16 (2) ◽  
pp. 197
Author(s):  
Awaluddin Awaluddin
Keyword(s):  
Exchange Rates ◽  
Economic Crisis ◽  
Relative Price ◽  
Purchasing Power ◽  
Social Perspective ◽  
Goods And Services ◽  
Monetary System ◽  
The Cost ◽  
The Impact ◽  
Material Welfare

Inflation is one of the macroeconomic symptoms associated with the decline in exchange rates (money) on goods and services market. One of the leaders of Islamic economics who specializes in his discussion of macroeconomics is al-Maqrizi. The solution offered by al-Maqrizi related to the problems that occurred in Egypt is to use the natural monetary system, the dinar and dirham become the base currency, while the fulus is published in a limited and only to buy trivial goods. Al-Maqrizi set the relative price for dinar, dirham and fulus. The relative price of dinar and dirham is 1:24, while the relative price between dirham and fulus is 1: 140. In addition to providing solutions to address the above three issues, al-Maqrizi also proposed solutions in a social perspective. This gives the conclusion that the impact of the economic crisis depends on the nature of income and wealth of each group. If the income is fixed or inflated but lower than the rate of inflation, then the condition is severe. Conversely, if their income rises higher than the rate of inflation, then their material welfare increases. Likewise with wealth in the form of money, they suffered losses because their purchasing power continued to decrease and they also had to increase the cost to meet the demands of the ever-increasing need.

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