The Impact of Population Ageing on Technological Progress and TFP Growth, with Application to United States: 1950-2050

Izmirlioglu, Yusuf (2008): The Impact of Population Ageing on Technological Progress and TFP Growth, with Application to United States: 1950-2050.

Abstract

I examine the effect of age-distribution of the society on economic growth through technological progress. I build a multisector economy model that involves population pyramid. I characterize the steady-state of the model for low and high population growth rate. Higher population growth rate yields faster TFP and output growth in the long-run. I analyze dynamic behavior of the economy. I calibrate the model for United States, 1950-2000 and using the estimated parameters I make predictions about the impact of population ageing on economic growth.

• Item Type: MPRA Paper
• Language: English
• Keywords: Population Ageing, Demographic Transition, TFP Growth, Technological Progress, Economic Growth Forecast, United States
• Subjects: O - Economic Development, Innovation, Technological Change, and Growth > O1 - Economic Development > O11 - Macroeconomic Analyses of Economic Development; O - Economic Development, Innovation, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O41 - One, Two, and Multisector Growth Models; O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O33 - Technological Change: Choices and Consequences ; Diffusion Processes; O - Economic Development, Innovation, Technological Change, and Growth > O3 - Innovation ; Research and Development ; Technological Change ; Intellectual Property Rights > O32 - Management of Technological Innovation and R&D; J - Labor and Demographic Economics > J1 - Demographic Economics > J11 - Demographic Trends, Macroeconomic Effects, and Forecasts

References

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