Professional Documents
Culture Documents
Classic
Theories of
Economic
Growth and
Development
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Figure 3.1
The Lewis
Model of
Modern-Sector
Growth in a
Two-Sector
Surplus-Labor
Economy
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Main Arguments
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Autarky
Average product
Capital-labor ratio
Capital-output ratio
Center
Closed economy
Comprador groups
Dependence
Dominance
Dualism
False-paradigm model
Free market
Free-market analysis
Harrod-Domar growth
model
Lewis two-sector model
Marginal product
Market failure
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Production function
Public-choice theory
Self-sustaining growth
Solow neoclassical growth
model
Stages-of-growth model of
development
Structural-change theory
Structural transformation
Sufficient condition
Surplus labor
Underdevelopment
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A(t ) L(t )
Y = F K , L
L = f K L ,1 or y = f (k )
1
Y (t ) = Y (t )
y Ak
k sf (k ) ( n)k
sf (k ) ( n)k
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k sf (k ) ( n)k
(A3.2.4)
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sf (k *) ( n)k *
(A3.2.5)
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Yi AK L
Y AK
L
N
g n =
1
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