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Neoclassical Growth Theory and Standard Models

  • Sascha Sardadvar
Chapter
Part of the Contributions to Economics book series (CE, volume 1)

Abstract

Thoughts and theories on economic growth can be traced back to the classical economists of the eighteenth and nineteenth century, whose works are briefly reviewed alongside the transition to neoclassical growth theory in Sect. 2.1. The basic outline of neoclassical growth models as first developed by Solow (1956) and Swan (1956) is presented in Sect. 2.2. The familiar but nonetheless special case of a Cobb-Douglas production function is examined in Sect. 2.3 in connection with the derivation of steady state levels of factors of production and output. Finally, Sect. 2.4 examines the inclusion of human capital as an additional factor of production and provides a note on endogenous growth theory.

Keywords

Human Capital Technological Progress Physical Capital Labour Unit Balance Growth Path 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Springer-Verlag Berlin Heidelberg 2011

Authors and Affiliations

  1. 1.Department of SocioeconomicsVienna University of Economics and Business, Institute for Economic Geography and GIScienceViennaAustria

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