Modelling Ports Investment and Island Economic Growth

INVESTMENT and ECONOMIC GROWTH

We used unit root and cointegration techniques to determine the long run relationship between GDP and investment for 90 countries using data from World Bank for the period 1960-1992. In the first step of our analysis we found GDP and investment integrated of different orders for 33 countries. Second step of our analysis shows no cointegration between GDP and investment for 25 countries and coin...

Externalities of Investment, Education and Economic Growth

We present a growth model in which investment in physical capital shows positive externalities which build up knowledge capital. A prerequisite for these spillovers to take place is that a country devotes time to education. Externalities associated with investment need education to raise the stock of knowledge capital. Analyzing the competitive economy we demonstrate that the model may explain ...

Information Technology Investment, Economic Growth, and Employment

During the past thirty years, the economy of the USA, along with other industrialized countries, has experienced several noticeable trends, namely, the economic slowdown, the tremendous increase in the amount of information technology investment, and fast structural change in terms of employment. With slow economic growth and fast IT capital accumulation, the so-called “information technology (...

Chapter 2 : Economic Freedom , Investment , and Growth

Since the time of Adam Smith, the topic of cross-country differences in income levels and growth rates has generated both extensive and heated debate. Many economists have argued that free economies—those that rely primarily on market arrangements—will outperform those that rely more extensively on government intervention and political direction. Is this proposition really true? The Economic Fr...

Economic Growth, Over-investment, and Financial Crisis