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A growth model with population as an endogenous variable.

P J Lloyd

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    |November 15, 2011
    PubMed
    Summary
    This summary is machine-generated.

    This study introduces a recursive economic growth model emphasizing demographic factors and their impact on income per capita. It explores how birth control programs and budget allocation influence economic growth rates, using South Asian data for simulation.

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    Area of Science:

    • Economics
    • Demography
    • Economic Modeling

    Background:

    • Economic growth is influenced by labor force dynamics and labor effectiveness.
    • Demographic assumptions significantly impact income per capita growth.
    • Population growth is a key factor in economic development models.

    Purpose of the Study:

    • To present a recursive economic growth model focusing on demographic impacts.
    • To analyze the effects of birth control programs on economic growth.
    • To assess the sensitivity of growth rates to budget allocation.

    Main Methods:

    • Development of a recursive economic growth model.
    • Incorporation of demographic variables, including birth control programs.
    • Numerical simulation using South Asian data.

    Main Results:

    • The model highlights the interdependence of labor input, consumption, and capital.
    • Budget allocation, particularly towards birth control, affects economic growth rates.
    • The study demonstrates the feasibility of calculations within a fully recursive framework.

    Conclusions:

    • Demographic factors are crucial determinants of economic growth per capita.
    • Strategic budget allocation, including investments in population control, can optimize economic outcomes.
    • The recursive model provides a framework for analyzing complex interactions between population and economy.