Balanced Growth Despite Uzawa

• 成果类型: Article
• 署名作者: Grossman, Gene M.; Helpman, Elhanan; Oberfield, Ezra; Sampson, Thomas
• 署名单位: Princeton University; Harvard University; University of London; London School Economics & Political Science
• 刊物名称: AMERICAN ECONOMIC REVIEW
• ISSN/ISSBN: 0002-8282
• DOI: 10.1257/aer.20151739
• 发表日期: 2017
• 页码: 1293-1312
• 关键词: capital-skill complementarity; technical change; UNITED-STATES; substitution; long; INEQUALITY; decline; facts

摘要

The evidence for the United States points to balanced growth despite falling investment-good prices and a less-than-unitary elasticity of substitution between capital and labor. This is inconsistent with the Uzawa Growth Theorem. We extend Uzawa's theorem to show that the introduction of human capital accumulation in the standard way does not resolve the puzzle. However, balanced growth is possible if education is endogenous and capital is more complementary with schooling than with raw labor. We present a class of aggregate production functions for which a neoclassical growth model with capital-augmenting technological progress and endogenous schooling converges to a balanced growth path.