FULL EMPLOYMENT POLICY AND ECONOMIC GROWTH,
Abstract
This paper explores the relationship between the factors that determine the rate of growth of potential output -- principally labor force growth and technical advance -- and the nature of the fiscal and monetary policies needed to achieve and maintain full employment within the context of a simple aggregative model. The model attempts to integrate two strands of analysis that have developed in the literature -- a neo-classical strand stemming from Solow's work on the growth of full employment output and a neo-Keynesian strand stemming from the Harrod-Domar studies of the conditions under which full employment can be maintained when the dual demand generating and capacity creating role of physical investment are both recognized. (Author)
Document Details
- Document Type
- Technical Report
- Publication Date
- Feb 01, 1965
- Accession Number
- AD0612196
Entities
People
- Richard R. Nelson
Organizations
- RAND Corporation