-Douglas global production functions and purely laboraugmenting technical change hinges on the assumption of independence of marginal Pareto distributions. In our more general case, the shape of local production functions matters for the shape of the global production function, and technical change augments both

I analyze an economy in which pro...t-maximizing ...rms can undertake both laboror capital-augmenting technological improvements. In the long run, the economy looks like the standard growth model with purely labor-augmenting technical change, and the share of labor in GDP is constant. Along

A new class of production functions and an argument against purely labor-augmenting technical change Jakub Growiec∗ This paper derives the macro-level production function from idea-based microfoun-dations. Labor-augmenting and capital-augmenting developments are assumed to be Pareto

function is Cobb-Douglas, and technical change in the long run is labor-augmenting.

, required by the estimated system, we obtain robust results not only for the aggregate elasticity of substitution but also for the parameters of labor and capital augmenting technical change. We find that the elasticity of substitution is significantly below unity and that the growth rates of technical

-reproducible factors. We use a Cobb-Douglas production function with two factors of production, one reproducible ("capital") and one not ("labor"). There is no augmenting progress of any kind, thus excluding the standard engine of growth. What is new is the possibility of changing factor

conclude that that population aging increases the relative scarcity of labor with respect to capital. Therefore, there will be more labor- and less capital-augmenting technical change. These evolutions may lead to faster TFP growth during the demographic transition. Institutional characteristics

-Douglas global production functions and purely laboraugmenting technical change hinges on the assumption of independence of marginal Pareto distributions. In our more general case, the shape of local production functions matters for the shape of the global production function, and technical change augments both

by the estimated system, we obtain robust results not only for the aggregate elasticity of substitution but also for the parameters of labor and capital augmenting technical change. We find that the elasticity of substitution is significantly below unity and that the growth rates of technical progress show

engineering. It replaces/subsumes the technological paradigm of the Industrial Age, organized primarily around the production and distribution of energy. In this article I aim at clarifying the theoretical implications that can be induced from my observation of contemporary social structures and social change