Countries with high levels of human capital also tend to be technologically advanced. We study whether modeling technology adoption can significantly amplify the importance of human capital differences in accounting for cross-country income gaps. We document that schooling is positively and...

This paper examines the macroeconomic consequences of a demographic transition in an environment where a producer's capital structure is relevant, thereby introducing an asset supply channel. Producers are heterogeneous with respect to how productive they are in different states of the world and...