Endogenous Growth Model of Romer Part 2: Solution and Analysis

This is the second part of the video on a simplified version of the seminal endogenous growth model of Paul Romer for which he was awarded the Nobel Memorial Prize in Economic Sciences in 2018. This part contains the derivation of the solution and a discussion of the model’s implications for long-run economic growth.

For part 1, please see

For an endogenous growth model with endogenous human capital accumulation, please see

For an endogenous growth model with automation, please see

For more videos on macroeconomics, please see:

[KlausPrettner]

Thank you very much for watching the video! For part 1, please see

For an endogenous growth model with endogenous human capital accumulation, please see

For an endogenous growth model with automation, please see

For more videos on macroeconomics, please see the playlist "Advanced Macroeconomics":

Thank you for your kind comments that I appreciate a lot.

[pragyajain]

Thank you Professor for explaining this model in such an easy way. What I do not understand is how are growth rates of per capita output and technology same? Kindly explain this!

[FabriceMazerolle]

I don't understand why at 14:38 it is said that rK=(alpha^2)Y. This is certainly true, but i have not been able to locate why it is so in any book. We can get close to this expression by using p=r/alpha and x=K/A, but there is still something missing. I have looked in very possibile book, including Barro and Sala-i-Martin, and nowhere it is clearly explained

[armanshaid]

Thank you, Professor. You are awesome! God bless you.

[ecosutra]

Sir, sry to bother u again but can you pls guide if there is any study material to start to study about endogenous growth in non CES models as I hv just joined phd in economic growth and wish to pursue in this field

[xuyingze]

I am a bit confused why P_A is also constant

[ahmedbouallala]

Hello. Can you shere with as thèse PDF