In the context of a green energy transition, capital adjustment costs render effective substitution between clean and dirty energy sources finite and endogenous, despite infinite long-run substitutability. Ramsey optimal paths robustly frontload clean investment before exhaustion of a given...

This report revisits the growth and convergence performance of the 11 EU member states in Central, East and Southeast Europe (EU-CEE11) over the past few decades, examining the underlying drivers, structural changes and the outlook. The review aims to assess the sustainability of the current...

This study provides a comparative analysis of the economic growth paths of Ukraine and Poland from a growth‑model perspective and determines how to calibrate Ukraine's growth model to converge with Poland's booming economy. The methodology comprises an approach to operationalizing growth...

This paper develops two Sraffian supermultiplier models of two different kinds of economies that are dependent upon foreign direct investment (FDI): the 'export platform FDI-led' growth model and the 'tax haven FDI-led' growth model. The former is driven by the growth of the exports of...

As the Draghi report shows, Europe needs to undergo a fundamental transformation in order to escape its 'mid-technology trap'. Mainstream economic theory offers little guidance on how to achieve this. A critical review of neoclassical growth theory shows that in these models, growth and...

Building on the HK framework, this study examines the "Solow Paradox" between R&D inputs and carbon emissions (CE) in China. We derive a production growth function with a mismatch coefficient from a multisector equilibrium model and use an extendable environmental impact assessment model to...

We study a neoclassical growth model with population growth and agents who are heterogeneous in their discount factors. Population growth is interpreted as the entry of new infinitely-lived agents with zero initial endowments who are not included in the economic calculus of existing agents. We...

This paper presents the Long-Term Growth Model–Human Capital Extension (LTGM-HC), a spreadsheet-based toolkit that projects the human capital of the workforce from 2025 to 2100 for 153 countries. The LTGM-HC simulates pre-tertiary years of schooling, education quality, and health across age...

We study a discrete-time optimal growth model with endogenous discounting. The discount factor may depend on both consumption and the capital stock, and intertemporal utility is modeled as a discounted sum of instantaneous utilities, with the sum of discount factors equal to one. We show that...

The relation between income and democracy remains debated, empirically and theoretically. We propose a broader perspective that goes beyond a uni-directional and monocausal interpretation of the income-democracy nexus by focusing on the neglected role of the transition from economic stagnation...

The objective of this paper is to provide a survey on the methods of demand-led decomposition and its different uses on the analyses of the patterns of growth, as well as some criticisms and limitations of such methods and analyses. We will present and compare the decompositions based on the...

The Chinese economy has experienced strong economic growth for more than four decades since the implementation of the Open Door Policy in 1978. The local governments of the Chinese provinces played a decisive role in implementing the ambitious development goals envisioned by the central...

Technological change, an overwhelming fact in recent socioeconomic history, involves, as Joseph A. Schumpeter famously put it, "creative destruction" on a large scale: it gives rise to new goods, production methods, firms, organisations, and jobs, while rendering some received ones obsolete. Its...

What sparked humanity's leap from stagnation to prosperity? What lies at the core of inequality among nations? Unified Growth Theory explores the evolution of societies over the entire course of human history. It uncovers the universal wheels of change that have governed the journey of humanity,...

This contribution reviews key developments in Kaleckian economics after Kalecki, with a focus on its application to mature capitalist economies. Rather than revisiting interpretations of Kalecki's original work, the contribution highlights subsequent theoretical and empirical extensions. It...

Scrutinizing post-Keynesian theory of endogenous technical progress and Régulation Theory, this paper examines productivity growth and its variation within capitalist economies. The aim is to identify how institutions steer productivity growth. Based on the vast literature demonstrating that...

This paper analyses the contribution of the renewable and non-renewable primary energy consumption per capita and the gross fixed capital formation per capita to sustainable economic growth using two models approximated by CES-type functions. Estimates are made by applying the TRANSLOG method....

The standard result in the literature states that balanced growth is only possible with labor-augmenting technological progress. If a more general form of technical progress is considered, the Cobb-Douglas production function is typically required (Uzawa, 1961). However, we show that this result...

The emergence of Artificial General Intelligence (AGI) as Artificial Humanity (AH) marks a crucial turning point in human history, influencing both the digital economy and sustainable development. AGI has the potential to either drive unprecedented progress or threaten sustainability. This...