Economic Growth (Economics)

Recall cards on long-run economic growth. The relatively recent arrival of sustained growth: the roughly 2 percent per year rise in GDP per capita since the Industrial Revolution, and the institutions behind it, property rights, contractual rights, and the rule of law. Labor productivity and its determinants: human capital, technological change (invention plus innovation), economies of scale, the aggregate production function, and how growth compounds. The components of growth: capital deepening in physical and human capital, and the central role of technology in growth-accounting studies. Finally, economic convergence: diminishing marginal returns to capital, the advantages of backwardness, the arguments against guaranteed convergence, and why convergence is slow.