This paper presents a class of models in which agents may devote part of their nonleisure activities to going to school so as to increase the efficiency units of labor they supply to the firms and the wages they receive. The interaction among the technology of human capital accumulation and agents' preferences will determine endogenously the ec::onomy's rate of growth. Given a constant returns ...

This paper analyzes the existence of recursive equilibria in a class of convex growth models with incomplete markets. Households have identical CRRA-preferences, production displays constant returns to scale with respect to physical and human capital, and all markets are competitive. There are aggregate productivity shocks that affect the aggregate returns to physical and human capital investme...

This paper describes a comparative empirical study of the effect of information and communication technology (ICT) capital, human capital and new organizational practices on labour productivity in Greek and Swiss firms. We use firm-level data collected in 2005 through a common questionnaire administered to samples of similar composition (e.g. similar firm sizes, similar sectors), from which we ...

This paper analyzes how human capital and economic uncertainty affect capital structure and managerial compensation. We model a competitive industry where wealth constrained managers provide human capital that can be transferred across firms, and where equityholders give managers access to the physical assets of the firm. Equityholders and managers bargain for the firm’s stochastic free cash fl...

This paper studies the interplay of capital resources in a small open economy by way of a general equilibrium political economy model. Normative implications for human capital migration resulting from physical capital lobbying are analyzed. Findings reveal that lobbying designed to mitigate the capital levy problem leads to increased human capital migration and that optimal tax policy for a soc...

The social dynamics of cities have long been dependent on their spaces and places. On the one hand, human interactions, and relationships are formed by the city form and on the other hand, the body recovers its identity from existing social life. The more a city can communicate with its citizens through physical features, the more it will affect their social identity. Thus, the city form can ha...

Human Capital, Economic Growth, and Regional Inequality in China We study the dispersion in rates of provincial economicand TFP growth in China. Our results show that regional growth patterns can be understood as a function of several interrelated factors, which include investment in physical capital, human capital, and infrastructure capital; the infusion of new technology and its regional spr...

Developmental plans of the country emphasize on the exports-focused growth strategy, and export diversification is one of the most appropriate policies in this area. Export diversification moves from primary goods to industrial goods. Yet, export diversification, according to the principles of international trade, must be based on comparative advantage until to change value-added. Changes in th...

We use a general equilibrium model to study the impact of fully funding social security on the distribution of consumption across cohorts and over time. In an initial stationary equilibrium with an unfunded social security system, the capital-output ratio, debt-output ratio, and rate of return to capital are 3.2, 0.6 and 6.8%, respectively. In our rst experiment, we suddenly terminate social se...

How do taxes affect human capital accumulation? This question has been studied extensively in the context of two model classes: overlapping generations (OLG) and infinite horizon (IH) models. These embody very different assumptions about the intergenerational transmission of physical and human capital. OLG models typically abstract from intergenerational linkages, while IH models implicitly ass...