4
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Accepted
Three types of Neutral technological Change
Let us assume the Cobb-Douglas production function:
$Y = AK^{\alpha}L^{1-\alpha}$, here A is called total factor productivity (TFP)
$Y = K^{\alpha}(AL)^{1-\alpha}$, here A is labor augmenting ...
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Are short-let platforms really contributing to rising rent prices?
Yes an example of such study is this Sheppard, S., & Udell, A. (2016). Do Airbnb properties affect house prices. Williams College Department of Economics Working Papers, 3.
This is their ...
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3
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Basic question i guess
fall in price arising from the labor savings
The price of a product is usually determined in part by its cost. (This holds in almost all theoretical models without strict capacity constraints, even ...
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3
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Technology as an endogenous economic variable
As the other answer says there is whole literature on the subject. In fact this is not even new subject, in 2018 Romer was awarded Nobel Prize in economics precisely for his work on endogenous growth.
...
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3
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Neutral technical progress
There are different notions of neutrality of technical progress in macroeocnomics.
You can have Hicks-neutral technical progress - that is a technical progress that increases the marginal ...
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How technology will help economists to do better predictions?
I'm an economist by training who also is a programmer and works with a lot of data scientists, so I've some insight into this area. One of my projects at the Urban Institute is trying to bridge the ...
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Can we see the computer age in the productivity statistics?
It means that computers (or IT in general) contribute to the society (they make us better off and more productive at work), but this does not show up in GDP statistics. The reason is that many of ...
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2
votes
Accepted
Costs of transportation
The paper "The impact of scale on energy intensity in freight transportation" by Gucwa and Schaefer has some of the information you need. Figure 5 from that paper is presented below:
The site ShipMap....
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2
votes
Accepted
Would directing more money to science and research and development be an effective response to recessions?
tl;dr:
R&D spending cannot stimulate economy during just by increasing long-run aggregate supply because recessions are fluctuations around the long-run aggregate supply and not necessary affected ...
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Why labor-augmenting technological progress increases employment and wages?
I found this excellent Economic Letter from the Federal Reserve Bank of San Francisco that speaks to this observation. It is from Carl R. Walsh (july 16,2004) (https://www.frbsf.org/economic-research/...
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Can technological investments and advancements be used as monetary policy tool to fight high inflation (or its prospects)?
Can technological investments and advancements be used as monetary policy tool to fight high inflation (or its prospects)?
Most likely no.
What you describe does not even look like monetary policy.
...
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2
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Accepted
Why does MRTS get smaller when there is labour saving technical change
You are correct.
Let's zoom out
When transitioning from the blue curve $q = L^{0.5}K^{0.5}$ to the red curve $q = L^{0.2}K^{0.5}$, the production function reflects labour saving technological change, ...
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Does the tech sector show that we can live with deflation?
Is it possible for a society to live with deflationary prices and suffer no ill effects?
No, if you count above average unemployment, deeper recession and potentially more sluggish growth as “ill ...
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Is it reasonable to run particle colliders from economic perspective?
The problem with this question is that we most likely do not yet have the data to answer this. A historical example may help. At the beginning of the 19th century, electricity was a curiosity. Only in ...
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Technology as an endogenous economic variable
The whole endogenous technological change literature, a.k.a endogenous growth models, is about how various market factors affect entrepreneurs or the R&D sector conducting technological ...
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How would you measure automation or technological development?
"What I am confused a little is how to measure the technological development/automation side of things."
There are several ways to do this in economics. TFP is not a good candidate because ...
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Can demand side restrictions explain the productivity paradox (Solow paradox)?
Capital accumulation would still appear as investment GDP. Its possible theres other applications for this spending that would result in higher gdp. For example, GDP spiked in ww2 because military ...
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Why labor-augmenting technological progress increases employment and wages?
The logic you presented is known as technological unemployment. It is true that due to technological improvements, you would need less people to do the same amount of work. But along with ...
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Technological unemployment
It would be helpful if you could let us know the papers you found, some of the background experience you have, and some more specifics.
This might be a useful paper nonetheless.
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Can we see the computer age in the productivity statistics?
Solow's Model - and much of growth theory - is somewhat based on resource saving technical change: economies get more productive by producing more output with the same amount of inputs.
This is a ...
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How technology will help economists to do better predictions?
There seems to be a lot of misconceptions regarding the use of technology in economics. Its important to remember a two points.
1. Modern economic theory is mostly, just a branch of Applied Math
...
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Labour-saving vs. Labour-augmenting technical change
This is how I'd approach the problem. Please point out any issues on this method as it is based on my own approach (I have no textbook to reference this to).
Based on the information you have, you ...
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Accepted
Was there a Role of Technology in Macroeconomic Models before Solow?
The Solow model was indeed the first model to account for technological progress.
While models like the the Harrod-Domar model and the Neo-Marxian Feldman–Mahalanobis model conciser investment and ...
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