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Flying or Trapped? / Yunfang Hu, Takuma Kunieda, Kazuo Nishimura, Ping Wang.

NBER Working papers Available online

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Format:
Book
Author/Creator:
Hu, Yunfang.
Contributor:
National Bureau of Economic Research.
Kunieda, Takuma.
Nishimura, Kazuo.
Wang, Ping.
Series:
Working Paper Series (National Bureau of Economic Research) no. w27278.
NBER working paper series no. w27278
Language:
English
Physical Description:
1 online resource: illustrations (black and white);
Place of Publication:
Cambridge, Mass. National Bureau of Economic Research 2020.
Summary:
We develop a unified theory with endogenous technology choice in human/knowledge capital accumulation to establish a rich array of equilibrium development paradigms, including poverty trap, middle income trap and flying geese growth. We then generalize the baseline structure and establish conditions for different development paradigms to arise. By calibrating the general model to fit the data from several representative economies with different income and growth patterns, we identify various prolonged flying geese episodes and middle income traps. By performing growth accounting, we find that improving human capital accumulation efficacy and mitigating barriers to human capital accumulation are most rewarding for advancing the economy and avoiding the middle income trap.
Notes:
Print version record
May 2020.

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