Review article
THEORIES OF GROWTH, COMPETITIVE ADVANTAGE OF COUNTRIES AND ECONOMIC POLICY
Luka Brkić
; Faculty of Political Sciences, Zagreb
Abstract
The text deals with the contributions to the theory of economic
growth, of the standard Harrod-Domar model, R. Solow's
neoclassic model of growth and the new Cambridge school model
of growth. The debate continues to focus upon contemporary
trends in the theory of growth directed towards the development
of dynamic models. The latter include macro-economic aggregates
such as the rate of inflation, supply of money and government
expenditure. Furthermore, special attention is given to the
approach based on the theory of rational expectation and also to
the approach which takes into consideration global technological
development. In the second part of the text factors which have an
impact on the competitive position of national economies are
analyzed. Assessed as decisive are: the company's innovative
abilities, the provision of high-quality production factors - such
as skilled labor and infrastructure, the degree of development of
competition on the domestic market, cultural factors requiring
intensive application of knowledge. However, the size of the
domestic market is not considered to be crucial.
Keywords
Hrčak ID:
33070
URI
Publication date:
1.1.1994.
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