Economic Growth and Development

1. Front Matter

   Pages i-x

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2. Overview

   • Sibabrata Das, Alex Mourmouras, Peter C. Rangazas

   Pages 1-8

3. Introduction to Economic Growth

   1. Front Matter

      Pages 9-9

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   2. Neoclassical Growth Theory

      • Sibabrata Das, Alex Mourmouras, Peter C. Rangazas

      Pages 11-50

   3. Extensions to Neoclassical Growth Theory

      • Sibabrata Das, Alex Mourmouras, Peter C. Rangazas

      Pages 51-89

   4. Two-sector Growth Models

      • Sibabrata Das, Alex Mourmouras, Peter C. Rangazas

      Pages 91-120

4. Dual Economies

   1. Front Matter

      Pages 121-121

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   2. Wage and Fertility Gaps in Dual Economies

      • Sibabrata Das, Alex Mourmouras, Peter C. Rangazas

      Pages 123-160

   3. Physical Capital in Dual Economies

      • Sibabrata Das, Alex Mourmouras, Peter C. Rangazas

      Pages 161-197

   4. A Complete Dual Economy

      • Sibabrata Das, Alex Mourmouras, Peter C. Rangazas

      Pages 199-230

   5. Urbanization

      • Sibabrata Das, Alex Mourmouras, Peter C. Rangazas

      Pages 231-260

   6. Conclusion

      • Sibabrata Das, Alex Mourmouras, Peter C. Rangazas

      Pages 261-267

5. Back Matter

   Pages 269-272

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Growth theory provides a rich and versatile analytical framework through which fundamental questions about economic development can be examined. This book is an introduction to the newer features of growth theory that are particularly useful in examining the issues of economic development. Structural transformation, in which developing countries transition from traditional production in largely rural areas to modern production in largely urban areas, is an important causal force in creating early economic growth, and as such, is made central in this approach. Towards this end, the authors augment the Solow model to include endogenous theories of saving, fertility, human capital, institutional arrangements, and policy formation, creating a single two-sector model of structural transformation. Based on applied research and practical experiences in macroeconomic development, the model in this book presents a more rigorous, quantifiable, and explicitly dynamic dual economy approach to development. Common microeconomic foundations and notation are used throughout, with each chapter building on the previous material in a continuous flow. With its single model and focus on data and policy analysis, this text is intended for beginning graduate students and policy makers interested in economic development.

• dual economy
• dynamic
• economic development
• growth theory
• two-sector model

“This textbook summarizes several decades of research on macroeconomics of development – or, at least, a large part of it. … Detailed exposition, questions for review and end-of-chapter exercises, and an extensive bibliography make this textbook an excellent learning and reference source for those working or aspiring to work in these institutions or for the national governments and think tanks.” (Nigar Hashimzade, Mathematical Reviews, June, 2017)

• International Monetary Fund, Washington, DC, USA

  Sibabrata Das

• Asia and Pacific Department Room HQ1-3-120G, International Monetary Fund Chief, D5 Division, Washington, DC, USA

  Alex Mourmouras

• Office: CA 518, Indiana University Purdue University Indianapolis: IUPUI, Indianapolis, IN, USA

  Peter C. Rangazas

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