Izvorni znanstveni članak
https://doi.org/10.1080/1331677X.2018.1456353
Complementarity between energy and physical capital in a simple model of economic growth
Maciej Malaczewski
; Department of Econometrics, University of Lodz, Lodz, Poland
Sažetak
Energy is one of the most important factors of growth, needed
to power physical capital. This implies complementarity between
these two factors, but in most theoretical papers, substitutability
is assumed. In this paper, the main question is if complementarity
between energy and physical capital hampers balanced growth or
not. In order to answer this question, we consider the simple economic
growth model with two sectors – output production and energy
production – where energy is complementary to physical capital. Two
forms of capital – physical and human – are distributed in this model
between two sectors to maximise output. We consider the equilibrium
state of this model, analyse comparative statics and derive necessary
conditions for balanced growth. We also analyse some of the effects
of technological progress. The analysis brings us to the conclusion
that, in general, it leads to an increase in output, but that changes in
technology of production have an ambiguous influence on output. We
also derive explicit paths of growth for all macroeconomic variables.
We find that, in general, if the obtained conditions are fulfilled then
complementarity is not an obstacle to economic growth, subject to
our assumptions which are quite standard in this kind of research.
Ključne riječi
Economic growth; energy; human capital; complementarity between energy and capital
Hrčak ID:
206099
URI
Datum izdavanja:
3.12.2018.
Posjeta: 873 *