The Solow Model 1 - Introduction

The Solow Model is a workhorse model of economic growth. Many subsequent papers in growth theory (and in business cycle theory) build on this model. A model of growth helps us to structure our thinking. Why is it, for example, that China is growing faster than the United States despite having much poorer institutions such as the rule of law? Surprisingly, even a simple version of the Solow model offers some useful predictions and ways to interpet aspects of the growth data. The four videos in this section will be especially useful for people who will see the Solow model in other classes and for anyone who wants to read more of the primary literature on growth theory or the empirics of growth (such as can be found, for example, in Barro and Sala-i-Martin's Economic Growth or David Weil's excellent textbook Economic Growth). We think these videos will be useful, however, even if you don't want to study the theory in more depth. We also offer a briefer treatment in our video The Solow Model (Brief, no math).

[shambhavisingh]

There is no better explanation on YouTube than yours! Amazing! I love all your videos.
Please do a video on Harrod Domar model too.

[maiden]

Easily the best explained video on steady state

[arthurlbn]

I am trying to find about salary and interest, but I cant find, I am saying in the solow model discrete

[surbhitwinkle]

Very well explained ...Thank you soo much sir🙏🙏🙏😊👌👌👍

[ysabelgracebelen]

How can I have a e-copy of this book? 🙏🏼😍

[alswls]

Thank you so much! It helped me a lot :)

[scholarpradeep]

bombed by another country but saving rate remained unchanged that was the reason.

[zockerbit]

You can draw no conclusions out of 3 countries without understanding the relationship between the US, Germany and Japan after the war.

[mirajshah]

Well China is no more adding it's "first tractors" and yet it's growth rate is quite high. I feel Americans should be a bit less condescending :/