Typical properties of optimal growth in the Von Neumann expanding model for large random economies

We calculate the optimal solutions of the fully heterogeneous Von Neumann expansion problem with $N$ processes and $P$ goods in the limit $N\to\infty$. This model provides an elementary description of the growth of a production economy in the long run. The system turns from a contracting to an expanding phase as $N$ increases beyond $P$. The solution is characterized by a universal behavior, independent of the parameters of the disorder statistics. Associating technological innovation to an increase of $N$, we find that while such an increase has a large positive impact on long term growth when $N\ll P$, its effect on technologically advanced economies ($N\gg P$) is very weak.Comment: 8 pages, 1 figur

Marx's Economy and Beyond

Following renewed interest in Marx?s political economy in the wake of the financial crisis, the paper aims to make a contribution to debates re-evaluating Marx?s theory of capitalism and his conceptualisation of the relationship between the polity and economy. We bring together our approaches from political philosophy, economic sociology, and political economy, making the case for a renewal of historical materialism. We develop a perspective of a radically politicised economy, rather than treating polity and economy as separate spheres. The political implications of this perspective involve an insistence on political and economic democratisation and human rights as an integral part of any socially egalitarian alternatives to capitalist political economies. The paper, written without the full academic paraphernalia, engages with current defences of the classical Marxist understanding of exploitation, especially the labour theory of value, and presents an alternative, neo-Polanyian analysi

Human Capital Spending, Inequality, and Growth in Middle-Income Asia

Asia’s rapid population aging fortifies the case for strengthening human capital investments. Further, the experience of the newly industrialized economies suggests that human capital investments will be a vital ingredient of the transition from middle income to high income. Those investments can also affect equity and public finances. In this paper, we use data from the National Transfer Accounts to empirically analyze the effect of human capital investment in Asian countries on economic growth, inequality, and fiscal balance. Our empirical evidence suggests that human capital investments have a positive effect on labor productivity and, hence, output. The positive effect is stronger for poorer households and, hence, beneficial for equity. We also find that such investments can generate sufficient tax revenues to improve the fiscal balance. Overall, our evidence points to a positive effect of human capital on growth, equity, and fiscal balance in Asia

Subsidiarity and Proportionality in the Single Market: An EU fit for inclusive growth

This report offers a fresh perspective on the principles of subsidiarity and proportionality in the European Union based on a thorough-going economic analysis. Specifically, the report uses the EU Single Market as a case to discuss shortcomings and potential improvements in five key policy areas. It reviews how the principles of subsid- iarity and proportionality can help boost growth in the EU at the aggregate country level – while at the same time allowing EU regions to benefit from growth. The report focuses on the regional level as economic growth has been uneven across the EU’s regions over the last decade and, consequently, growing disparities between re- gions have emerged. This alone merits a review on how we can reconcile the twin objectives in the future

Feminist Ecological Economics

This article provides an overview of feminist ecological economics, with special attention to three particular aspects: its theoretical foundations and relation to other schools of thought, its implications for activism and public policy, and directions for future research work.This research was supported by the Social Sciences and Humanities Research Council of Canad

The prospects for African urban economies

Cities generally function as sources of economic development and human progress. One of the puzzles about Africa's urbanization is that it has not been accompanied by greater economic dynamism. The paper considers the distinctive development trajectory of African urban economies. It considers the applicability of the argument that cities are drivers of economic growth, and the idea that cities develop more complex, higher-value functions over time. It examines the recent revival of African economies, and asks whether the fashionable idea of enhanced international integration through cross-border collaboration might facilitate greater urban prosperity

Innovative Asia: Advancing the Knowledge-Based Economy - Highlights of the Forthcoming ADB Study Report

[Excerpt] The development of knowledge-based economies (KBEs) is both an imperative and an opportunity for developing Asia. It is an imperative to sustain high rates of growth in the future and an opportunity whereby emerging economies can draw from beneficial trending developments that may allow them to move faster to advance in global value chains and in position in world markets. Over the last quarter of a century, driven mostly by cheap labor, developing countries in Asia have seen unprecedented growth rates and contributions to the global economy. Sustaining Asia’s growth trajectory, however, requires developing economies to seek different approaches to economic growth and progress, especially if they aspire to move from the middle-income to the high-income level. KBE is an important platform that can enable them to sustain growth and even accelerate it. It is time for Asia to consolidate and accelerate its pace of growth. Asia is positioned in a unique moment in history with many advantages that can serve as a boost: to name a couple, an expanding middle of the pyramid—Asia is likely to hold 50% of the global middle class and 40% of the global consumer market by 2020; and the growing importance of intra-regional trade within Asia, increasing from 54% in 2001 to 58% in 2011. Many developing economies are well placed to assimilate frontier technologies into their manufacturing environment

A Critical Scan of Four Key Topics for the Philanthropic Sector: A study by the Rockefeller Foundation and Accenture Development Partnerships

The study aims to identify problem areas in the developing and developed world, as well as areas of dynamism and convergence that will, over the next five to 10 years, present opportunities to make a greater impact in the development sector. The study, which made use of a consultative process, investigates four key topics central to human wellbeing. These are: natural ecosystems, health, livelihoods, and urban environments. In each of the four identified topic areas there is a greater need to foster innovation and shift paradigms in order to expand opportunity for the vulnerable and those living in poverty, and strengthen their resilience