Conventional wisdom about the relationship between income distribution and economic development has been subjected to dramatic transformations in the past century. While Classical economists advanced the hypothesis that inequality is bene…cial for economic development, the Neoclassical paradigm, which had subsequently dominated the …eld of macroeconomics, dismissed the Classical hypothesis and ...

What is the role of physical activity in human capital accumulation? Brain research provides evidence of the importance of physical activity for cognitive functions. An increasingly sedentary lifestyle could thus disrupt human capital accumulation. We analyze effects of on-campus recreational sports and exercise on educational outcomes of university students. We randomize financial incentives t...

This paper develops a uni...ed theory for the dynamic implications of income inequality on the process of development. The proposed theory argues that the replacement of physical capital accumulation by human capital accumulation as a prime engine of economic growth has changed the qualitative impact of inequality on the process of development. In early stages of industrialization as physical c...

the objective of this research is to explore the effect of international outsourcing on economic growth in asia-pacific countries. accordingly, a panel regression model based on soderbom and teal (2003) is estimated using data of the considered countries over the period 1995-2006. in addition to international outsourcing, the model includes human capital, labor force and physical capital as the...

This paper surveys the empirical literature on human capital and productivity and summarizes the results of my own work on the subject. On balance, the available evidence suggests that investment in education has a positive, significant and sizable effect on productivity growth. According to my estimates, moreover, the social returns to investment in human capital are higher than those on physi...

We consider a Rebelo (1991) type model of endogenous growth in which the environmental quality positively affects the rate of human capital accumulation and the environmental quality itself is positively affected by human capital accumulation and is negatively affected by physical capital accumulation. We analyse the effects of taxation on the steady state equilibrium growth rate in this model....

0747-5632/$ see front matter 2012 Elsevier Ltd. A doi:10.1016/j.chb.2011.12.003 ⇑ Corresponding author. Tel.: +49 40 41346826; fax E-mail addresses: [email protected] ( uni-hamburg.de (L. Reinecke), keno.juechems@stu Juechems). Online gaming has gained millions of users around the globe, which have been shown to virtually connect, to befriend, and to accumulate online social capital....

There are two facts related to the reallocation of physical assets across plants. In the macro level, capital reallocation, measured as the aggregate sales of used capital, is procyclical. In the micro level, selling used capital is costly. In this paper, I investigate the quantitative contribution of adverse selection in the used capital market towards generating the procyclical capital reallo...

We build an infinite-horizon dynamic deterministic general equilibrium model with imperfect markets (because of borrowing constraints), in which heterogeneous agents invest in capital or/and financial asset, and consume. There is a representative firm who maximizes its profit. Firstly, the existence of intertemporal equilibrium is proved even if aggregate capital is not uniformly bounded. Secon...