Zilibotti, F. (1993) A Rostovian model of endogenous growth and underdevelopment traps. CEPDP, 166. Centre for Economic Performance, London School of Economics and Political Science, London, UK.Full text not available from this repository.
The paper presents a model which combines self-sustained growth and ''underdevelopment traps'' into a common analytical framework. The objective is to given an analytical interpretations to Rostow''s observation that there is a ''decisive interval in the history of a society when growth becomes its normal condition'' and to the empirical evidence that some countries seem not to have achieved this stage yet. The model exhibits aggregate non-convexities and thresholds which separate a region where growth is ''Solow-type'', with convergence to a stationary steady-state from region where growth is ''Romer-type'' , with endogenous self-sustained growth. In some critical stages of development multiple equilibrium trajectory may exist, consistent with alternative sets of self-fulfilling beliefs.
|Item Type:||Monograph (Discussion Paper)|
|Additional Information:||© 1993 F.Zilibotti|
|Library of Congress subject classification:||H Social Sciences > HB Economic Theory|
|Sets:||Collections > Economists Online
Research centres and groups > Centre for Economic Performance (CEP)
|Date Deposited:||19 Aug 2008 10:30|
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