Showing papers on "Capital deepening published in 1975"

Capital Theory and the Distribution of Income

Abstract: Advanced Textbooks in Economics, Volume 4: Capital Theory and the Distribution of Income focuses on the interconnection of capital theory and the distribution of income, including marginal products, capital, interest rates, and price systems. The book first takes a look at production without capital, equilibrium, prices, and time, and semi-stationary growth, as well as the existence of constant-rate-of-interest price systems. The manuscript then discusses marginal products and capital and the Cambridge model. The text examines the aggregation of miscellaneous objects, production function, linear production model, and efficiency, production prices, and rates of return, as well as prices and efficiency for infinite developments. The manuscript also ponders on investment, structure of interest rates, and disputations. Discussions focus on sets and convex sets, concave functions, and linear and non-linear programming. The publication is a dependable source of data for economists and researchers interested in capital theory and the distribution of income.

Human Capital and Labor Supply: A Synthesis

Abstract: It is by now widely recognized that investment decisions play a major role in the determination of individual age-earnings profiles. The purpose of this paper is to present a simple life-cycle model of investment in human capital in which leisure choices are explicitly incorporated. In so doing, we integrate two previously disparate branches of life-cycle theory: models of labor supply with exogenous wages, and models of human capital formation with exogenous leisure. Of course, to accomplish this, we must posit utility maximization as the individual's goal rather than income maximization.

Capital-Skill Complementarity, Income Distribution, and Output Accounting

Abstract: How quickly do the returns to education fall when the number of educated people rises? This has been a crucial question for the philosophy of educational planning, since the case for manpower forecasting and planning is stronger the less easy the process of substituting educated for less educated people.

Yugoslavia - Development with decentralization

Abstract: Yugoslavia represents both a new economic system and a new kind of socialist society which began to evolve nearly 25 years ago. The system is described and assessed in this report. The Yugoslav system is characterized by social ownership and control of the means of production, with worker self-management and decentralization of political and economic decisions. As a corollary of decentralized decision-making, there is a gradual reduction of centralized planning and control and a greater reliance on markets as a guide to the allocation of resources. Progress has been accompanied by an increasingly open economy and a more liberal foreign exchange and trade system, intended to improve the efficiency of domestic industry and to generate higher standards of living. The analysis of the development experience and problems of the Yugoslav economy that is presented in this report, while indicating that significant problems are still to be solved, nevertheless gives a favorable assessment of the country's future economic performance. The report suggests that Yugoslavia's demonstrated ability to combine rapid economic growth and fundamental institutional changes over a long period of time speaks for the basic soundness of its line of economic development. The country has also demonstrated its ability to confront and solve persistent and difficult domestic and external problems. Other bases for confidence about development prospects, as reflected in the report, include the country's natural and human resources, together with its pragmatic and dynamic approach to economic issues, readiness to consider and undertake institutional changes, and a general commitment to an open-market-oriented economy.

Economic growth and decline with exhaustible resources

Abstract: The paper extends neoclassical growth theory to exhaustible resources. Output is assumed to depend on labor, capital, the stock of available resources, and the rate of resource depletion. Population change and capital accumulation in turn depend on per capita output. The various types of paths — balanced or unbalanced, monotonic or oscillatory, of growth or of decline — which may result from such a system are examined. Special attention is given to steady states in the sense that capital and resourcesper capita remain constant. The influence of resource-saving technical progress is also examined.

Marginal products and capital

Abstract: Generalizing from the work of a particular machine to that of machinery of a given aggregate value, we may suppose that in a certain factory an extra £100 worth of machinery can be applied so as not to involve any other extra expense, and so as to add annually £4 worth to the net output of the factory, after allowing for its own wear and tear. If the investors of capital push it into every occupation in which it seems likely to gain a high reward; and if after this has been done and equilibrium has been found, it still pays and only just pays to employ this machinery, we can infer from this fact that the yearly rate of interest is 4 per cent. But illustrations of this kind merely indicate part of the action of the great causes which govern value. They cannot be made into a theory of interest, anymore than into a theory of wages, without reasoning in a circle.