Master Chefs Grow Slower Than New Cooks

In the latest podcast at MacroMusings, Alex Tabarrok, co-author of a couple of excellent textbooks on the principles of economics with Tyler Cowen, discusses what they mean by “cutting edge” growth and “catching up” growth.  The reason for this distinction arises because of the claim that particular institutions promote economic growth. However, we see countries … Continue reading Master Chefs Grow Slower Than New Cooks

Valentine’s Day Is Over: Getting Out Of The Steady State

Now that the Valentine’s Day chocolates have been consumed and flowers have withered and died, many of us go back to the same old routines in our relationships. That is, we go to work, be nice to each other (hopefully), and continue to use our comparative advantages at home. We go back to our “steady-state”. … Continue reading Valentine’s Day Is Over: Getting Out Of The Steady State

Robert Solow: Finding the Formula for Economic Growth

Let’s talk about all the crazy things that are happening in Korea. No, not North Korea, they get enough attention for much less amazing things. The economy in South Korea has exploded since the Korean War. In just 60 years, they’ve gone from absolute poverty to a country of innovators and technology. A recent study … Continue reading Robert Solow: Finding the Formula for Economic Growth

Human Capital: What It Is and What It Means in the New Economy

As we continue to explore the factors of economic mobility, acquiring a diverse chunk of human capital is arguably the most crucial factor of them all. So while we’ve all been indoctrinated to believe education stops when it’s time to “become an adult,” the truth is that we are going to have to dedicate our … Continue reading Human Capital: What It Is and What It Means in the New Economy