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Institutions and Productivity in History

Опубликовано на портале: 05-02-2003
Economics Working Paper Archive at WUSTL. 1994. 
The performance of an economy is a function of both the institutions and technology developed in a society but the literature on productivity is devoid of any discussion of the institutional foundations of the economy. Instead that literature and the growth accounting quantitative foundations of that analysis focus on the significance of the capital stock, technology, R&D, and savings in the rate of growth of productivity. The new growth economics literature equally equates growth with human capital investment, physical capital, savings and sometimes as a negative function of population growth. The argument of this essay is that productivity increases result from both improvements in human organization and from technological developments.

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