Affiliation:
1. Universidad del Norte, Colombia
2. California State University, USA
Abstract
ABSTRACT We build upon an already known but scarcely developed feature of growth theory: the importance of asset distribution in an aggregate production function. We elaborate on a simple model of two individuals, and then generalize its deductions to an extended model of n agents, concluding that perfectly distributed productive capital leads to positive and optimum long-run “endogenous” growth. Recent and classical empirical literature on the topic suggests this interpretation. In addition, we find exploratory panel data evidence that supports our theory of growth and distribution in a set of Latin American countries.
Subject
Political Science and International Relations,General Economics, Econometrics and Finance,Sociology and Political Science
Reference37 articles.
1. How does political instability affect economic growth?;Aisen A.;European Journal of Political Economy,2013
2. How growing asset inequality affects developing economies;Beladi H.;Journal of Economics and Business,2013
3. Asset inequality matters: an assessment of the World Bank’s approach to poverty reduction;Birdsall N.;The American Economic Review,1997
4. Historia económica de Colombia;Caballero E.,1970
5. Human capital inequality and economic growth: some new evidence;Castelló A.;The Economic Journal,2002
Cited by
1 articles.
订阅此论文施引文献
订阅此论文施引文献，注册后可以免费订阅5篇论文的施引文献，订阅后可以查看论文全部施引文献