I'm trying to rework Mankiw, Romer, Weil (1992) with fresh data.
From their paper:
n: workforce growth rate
We measure n as the average rate of growth of the working-age population, where working age is defined as 15 to 64.
s: rate of savings
We measure s as the average share of real investment (including government investment) in real GDP...
Y/L: output per worker
...and Y/L as real GDP in 1985 divided by the working-age population in that year.
They also assume...
... that g+δ=0.05
As for human capital:
We use a proxy for the rate of human-capital accumulation (Sh) that measures approximately the percentage of the working-age population that is in secondary school. We begin with data on the fraction of the eligible population (aged 12 to 17) enrolled in secondary school, which we obtained from the UNESCO yearbook. We then multiply this enrollment rate by the fraction of the working-age population that is of school age (aged 15 to 19).
Considering the latest version of the Penn World Tables, should I use emp and the corresponding growth rate for n, rgdpo/emp for Y/L, and hc for human capital (Sh)? What about s? I'm a little perplexed as MRW include government investment.
Excerpt from the PWT 9.0 legend for convenience.
Real GDP, employment and population levels
rgdpe Expenditure-side real GDP at chained PPPs (in mil. 2011US$)
rgdpo Output-side real GDP at chained PPPs (in mil. 2011US$)
pop Population (in millions)
emp Number of persons engaged (in millions)
avh Average annual hours worked by persons engaged
hc Human capital index, based on years of schooling and returns to education; see Human capital in PWT9.
Current price GDP, capital and TFP
ccon Real consumption of households and government, at current PPPs (in mil. 2011US$)
cda Real domestic absorption, (real consumption plus investment), at current PPPs (in mil. 2011US$)
cgdpe Expenditure-side real GDP at current PPPs (in mil. 2011US$)
cgdpo Output-side real GDP at current PPPs (in mil. 2011US$)
ck Capital stock at current PPPs (in mil. 2011US$)
ctfp TFP level at current PPPs (USA=1)
cwtfp Welfare-relevant TFP levels at current PPPs (USA=1)
National accounts-based variables
rgdpna Real GDP at constant 2011 national prices (in mil. 2011US$)
rconna Real consumption at constant 2011 national prices (in mil. 2011US$)
rdana Real domestic absorption at constant 2011 national prices (in mil. 2011US$)
rkna Capital stock at constant 2011 national prices (in mil. 2011US$)
rtfpna TFP at constant national prices (2011=1)
rwtfpna Welfare-relevant TFP at constant national prices (2011=1)
labsh Share of labour compensation in GDP at current national prices
delta Average depreciation rate of the capital stock
Shares in CGDPo
csh_c Share of household consumption at current PPPs
csh_i Share of gross capital formation at current PPPs
csh_g Share of government consumption at current PPPs
csh_x Share of merchandise exports at current PPPs
csh_m Share of merchandise imports at current PPPs
csh_r Share of residual trade and GDP statistical discrepancy at current PPPs