Economic Growth
2
2019-2020
03007686
Economics
Portuguese
Face-to-face
SEMESTRIAL
7.5
Elective
3rd Cycle Studies
Recommended Prerequisites
Not applicable.
Learning Outcomes
1. Understand different models of economic growth. Apply the different models of economic growth in determining the equilibrium economic growth rate. Demonstrate analytically, for each growth model, which is the engine of growth. Demonstrate analytically how each model obtains a constant marginal productivity of capital.
2. Compare and criticize the various models studied. Select appropriate models depending on the topics under discussion.
3. Estimate economic growth regressions using several alternative econometric methods and data structures. Identify, for several testable hypothesis, the most adequate econometric model and data structure.
4. Test for absolute and conditional alpha convergence and for sigma convergence in per capita GDP across countries. Perform growth accounting exercises.
Work Placement(s)
NoSyllabus
1. Economic Growth Models
1.1. Solow (1956) Model
1.2. AK (1990) Model
1.3. Romer (1990) Model
1.4. Lucas (1988) Model
1.5. Grossman &Helpman (1990) Model
1.6. Aghion&Howitt (1992) Model
1.7. Comparative Analysis of the growth models discussed
2. Growth Econometrics
2.1. Some stylized facts
2.2. Cross country growth regressions
2.3. The convergence hypothesis
2.4. Panel data growth regressions
2.5. Growth accounting
Assessment Methods
Evaluation
Individual essay, which empirically analyzes a topic mentioned in the curricular unit:: 50.0%
Final test on chapter 1: 50.0%
Bibliography
Barro, R.J. and Sala-i-Martin, X. (2004), Economic Growth, 2nd ed., MIT Press, Cambridge, MA.
Caselli (2005), “Accounting for cross-country income differences.” In Aghion, P. and S. Durlauf, eds., Handbook of Economic
Growth, Vol. 1A, Elsevier North-Holland, pp. 679-741.
Durlauf, S., P. Johnson and J. Temple (2005), “Growth econometrics.” In Aghion, P. and S. Durlauf, eds., Handbook of Economic Growth, Vol. 1A, Elsevier North-Holland, pp. 555-677.
Thompson, M.J. (2008), Generating Economic Growth: An Analytical Survey. The Open Economics Journal, 1: 25-36.
Ao longo das aulas será indicada a bibliografia específica para cada capítulo do programa./ In each class the bibliography specific to each chapter will be listed.