Structural Change and Constrained Inefficiency: A Model of Endogenous Economic Growth
2016/02/23
研討會日期 : 2016-02-23
時間 : 14:30
主講人 : Professor Cyrus Chu
主持人 : Professor Stacey Chen
地點 : Conference Room B110
演講者簡介 : Professor Chu received his Ph.D. in Economics from University of Michigan at 1985. He is currently a Distinguished Research Fellow at the Institute of Economics, Academia Sinica. His research fields are Population Economics, Law and Economics, Public Economics and Regional Economics.
演講摘要 : Previous literature on structural changes analyzes the impact on employment and expenditure with respect to exogenous technological changes in agricultural and manufacturing sectors. This paper considers a two-sector growth model with both exogenous and endogenous technological changes. In addition to revising the conventional wisdom on structural changes, we show that the equilibrium balanced growth path is in general constrained inefficient in the sense of Davila et al. (2012). The market cannot eliminate this inefficiency because individuals take prices as given, and do not realize that their aggregate innovations can in fact change relative prices. Policy implications are also suggested.
