Advertisement

Two Sector Growth Models

  • Sibabrata Das
  • Alex Mourmouras
  • Peter Rangazas
Chapter
Part of the Springer Texts in Business and Economics book series (STBE)

Abstract

This section provides an introduction to two sector growth models. We begin with a model where a single good is produced using traditional means of production. In the traditional sector, production is carried out by households using land (natural resources) and labor. There are no firms or factories that rely on heavy plant and equipment and modern production methods to produce goods. This setting can be used to identify the conditions necessary for a modern sector to appear that would begin an “industrial revolution,” as in Hansen and Prescott (2002), helping to explain G8 and G9.

References

  1. Abdus S (2007) Obesity: A dynamic structural model of individuals’ body weight choice. Cornell University, Ithaca, New York.Google Scholar
  2. Abdus S, Rangazas P (2011) Adult nutrition and growth. Review of economic dynamics 14(4):636–649.CrossRefGoogle Scholar
  3. Acemoglu D, Robinson J (2012) Why nations fail: The origins of power, prosperity, and poverty. Crown Publishers, New York.Google Scholar
  4. Ashworth A, Millward D (1986) Catch-up growth in children. Nutrition reviews 44(5):157–163.CrossRefGoogle Scholar
  5. Azariadis C (1993) Intertemporal macroeconomics. Blackwell, Oxford.Google Scholar
  6. Clark G (2007) A farewell to alms. Princeton University Press, Princeton, New Jersey.Google Scholar
  7. Costa D (1996) Health and labor force participation of older men, 1900–1991. Journal of economic history 56(1):62–89.CrossRefGoogle Scholar
  8. Crafts N (1995) Exogenous of endogenous growth? The industrial revolution reconsidered. Journal of economic history 55(4):745–772.CrossRefGoogle Scholar
  9. Fogel R (1994) Economic growth, population theory, and physiology: The bearing of long-term processes on the making of economic policy. American economic review 84(3):369–395.Google Scholar
  10. Galor O (2005) From stagnation to growth: A unified theory. In: Aghion P, Durlauf S (eds) Handbook of economic growth. Elsevier North-Holland, Amsterdam.Google Scholar
  11. Galor O (2011) Unified growth theory. Princeton University Press, Princeton, New Jersey.Google Scholar
  12. Galor O, Weil D (2000) Population, technology, and growth: From Malthusian stagnation to modern economic growth. American economic review 90(4):806–828.CrossRefGoogle Scholar
  13. Graham GG, Creed HM, MacLean Jr WC, Kallman CH, Rabold J, Mellits ED (1981) Determinants of growth among poor children: Nutrient intake –achieved growth relationships. The American journal of clinical nutrition 34:539–544.CrossRefGoogle Scholar
  14. Habbakuk J (1962) American and British technology in the Nineteenth century. Cambridge University Press, Cambridge, UK.Google Scholar
  15. Hansen G, Prescott E (2002) Malthus to Solow. American economic review 92(4):1205–1217.CrossRefGoogle Scholar
  16. Herrendorf B, Rogerson R, Valentinyi A (2014) Growth and the structural transformation. In: Aghion P, Durlauf S (eds) Handbook of economic growth, vol. 2. Elsevier, Amsterdam.Google Scholar
  17. Kirbey P (1995) Causes of Short stature among coal-mining children 1823–1850. Economic history review, 687–699.Google Scholar
  18. Komlos J (1998) Shrinking in a growing economy? The mystery of physical stature during the industrial revolution. Journal of economic history 58(3):779–802.CrossRefGoogle Scholar
  19. Lucas R (2002) Lecture on economic growth. Harvard University Press, Cambridge, Massachusetts.Google Scholar
  20. Maddison A (1995) Monitoring the world economy, 1820–199. Organisation for Economic Co-operation and Development, Paris.Google Scholar
  21. Mitchell H (1962) Nutrition in relation to stature. Journal of the American dietetic association 40:521–524.Google Scholar
  22. Mourmouras A, Rangazas P (2009) Reconciling Kuznets and Habbakuk in a unified growth model. Journal of economic growth 14(2):149–181.CrossRefGoogle Scholar
  23. Parente S, Prescott E (2000) Barriers to riches. MIT Press, Cambridge, Massachusetts.Google Scholar
  24. Voth H, Leunig T (1996) Did smallpox reduce height? Stature and the standard of living in London, 1770–1873. Economic history review 49(3):541–566.CrossRefGoogle Scholar
  25. Whitney E, Cataldo C (1983) Understanding normal and clinical nutrition. West-Wadsworth Publishing Company, Belmont, California.Google Scholar
  26. Williamson J (2011) Trade and poverty: When the third world fell behind. MIT Press, Cambridge, Massachusetts.CrossRefGoogle Scholar

Copyright information

© Springer International Publishing AG, part of Springer Nature 2018

Authors and Affiliations

  • Sibabrata Das
    • 1
  • Alex Mourmouras
    • 2
  • Peter Rangazas
    • 3
  1. 1.Strategy, Policy & Review DepartmentInternational Monetary FundWashington, DCUSA
  2. 2.International Monetary FundWashington, DCUSA
  3. 3.Department of EconomicsIndiana University-Purdue UniversityIndianapolisUSA

Personalised recommendations