Write the logarithmic equation for Japan in this period given and admitting as 1% (Population growth 0.95%) and =0.4. Then discuss what could have been the contributions of capital stock growth and TFP to GDP g
Observation 3: GDP growth accelerates thanks to Second Industrial Revolution: 18701913 In the last quarter of the 19th century new technologies (electricity, oil, cars), called Second Industrial Revolution, have been developed enhancing a push in productivity and capital accumulation. We observe that in the period of 1870-1913 GDP growth as well as GDP per capita growth have been accelerated in USA, WE, EE and LA but there is also a new comer, Japan. In this country commercial capitalism has been already developed and a wealthy bourgeoisie had emerged in the previous period. In 1878 this bourgeoisie overthrown the Shogun government (Meiji Revolution) and opened the ways of economic and social reforms (free market, property rights, mass schooling). The highest growth performance is again observed in USA (Western Offshoots): GDP growth 3.9% and per capita growth 1.8%. Note that population growth diminished but still quite high: 2.1%. The second best performer was LA with GDP growth of 3.5% and 1.8% for GDP per capita growth. Note that population growth increased to 1.6%; migration played a significant role in high GDP growth. The third best performer was Japan: 2.4% for GDP growth and 1.5% for GDP per capita growth. In WE GDP growth and GDP per capita growth attained 2.1% and 1.3% respectively, in EE 2.4% and 1.5%. Question 2: Write the logarithmic equation for Japan in this period given logY and admitting logL as 1% (Population growth 0.95% ) and =0.4. Then discuss what could have been the contributions of capital stock growth and TFP to GDP growth Table 3-1a. Growth of Per Capita GDP, Population and GDP: World and Major Regions, 1000-1998 Table 3-1b. Levels of Per Capita GDP and Interregional Spreads, 1000-1998 (1990 international dollars) Observation 3: GDP growth accelerates thanks to Second Industrial Revolution: 18701913 In the last quarter of the 19th century new technologies (electricity, oil, cars), called Second Industrial Revolution, have been developed enhancing a push in productivity and capital accumulation. We observe that in the period of 1870-1913 GDP growth as well as GDP per capita growth have been accelerated in USA, WE, EE and LA but there is also a new comer, Japan. In this country commercial capitalism has been already developed and a wealthy bourgeoisie had emerged in the previous period. In 1878 this bourgeoisie overthrown the Shogun government (Meiji Revolution) and opened the ways of economic and social reforms (free market, property rights, mass schooling). The highest growth performance is again observed in USA (Western Offshoots): GDP growth 3.9% and per capita growth 1.8%. Note that population growth diminished but still quite high: 2.1%. The second best performer was LA with GDP growth of 3.5% and 1.8% for GDP per capita growth. Note that population growth increased to 1.6%; migration played a significant role in high GDP growth. The third best performer was Japan: 2.4% for GDP growth and 1.5% for GDP per capita growth. In WE GDP growth and GDP per capita growth attained 2.1% and 1.3% respectively, in EE 2.4% and 1.5%. Question 2: Write the logarithmic equation for Japan in this period given logY and admitting logL as 1% (Population growth 0.95% ) and =0.4. Then discuss what could have been the contributions of capital stock growth and TFP to GDP growth Table 3-1a. Growth of Per Capita GDP, Population and GDP: World and Major Regions, 1000-1998 Table 3-1b. Levels of Per Capita GDP and Interregional Spreads, 1000-1998 (1990 international dollars)
