Open Access Open Access  Restricted Access Subscription or Fee Access

Population growth and the Solow-Swan model

Elvio Accinelli , Juan Gabriel Brida

Abstract


One of the key elements in any standard economic growth theory is that population growth is exponential with a constant rate n > 0. This simple model can provide an adequate approximation to such growth only for the initial period because, growing exponentially, population approaches infinity when t goes to infinity, which is clearly unrealistic. The exponential model does not accommodate growth reductions due to competition for environmental resources such as food and habitat. In this paper we reformulate the neoclassical Solow model of economic growth by assuming that the law describing population growth verifies two stylized facts: 1) population is strictly increasing and bounded and 2) the rate of growth of population is strictly decreasing to zero. The main result of the paper is the proof of the convergence of capital per worker to a constant value independently of the initial condition. This constant value coincides with the steady state of the original Solow model with zero population growth rate.

Keywords


Solow-Swan model; population models

Full Text:

PDF

Refbacks

  • There are currently no refbacks.


Disclaimer/Regarding indexing issue:

We have provided the online access of all issues and papers to the indexing agencies (as given on journal web site). It’s depend on indexing agencies when, how and what manner they can index or not. Hence, we like to inform that on the basis of earlier indexing, we can’t predict the today or future indexing policy of third party (i.e. indexing agencies) as they have right to discontinue any journal at any time without prior information to the journal. So, please neither sends any question nor expects any answer from us on the behalf of third party i.e. indexing agencies.Hence, we will not issue any certificate or letter for indexing issue. Our role is just to provide the online access to them. So we do properly this and one can visit indexing agencies website to get the authentic information.