In the previous couple of blogs, we discussed the Lewis Theory of Economic Development and International Dependence Model. In this blog our focus is on neoclassical long run economic growth model. Introduction of Solow Model of Economic Growth The Solow model of economic growth is a well-known Neoclassical exogenous growth model
Explore key Pakistan Economic Datasets. Pakistan Social and Living Standard Measurement (PSLM) Household Integrated Economic Survey (HIES) Pakistan Demographic Survey (PDS) Population and Housing Census Pakistan Economic Survey (PES) Handbook of Statistics on Pakistan Economy 2020 Pakistan Annual GDP Data by Sectors Since 1990 Pakistan M2 Monthly Data Since 2008
Introduction to Demographic Transition Theory Demographic Transition Theory (DTT) explains how population growth changes as countries move from traditional agrarian economies to modern industrial societies. The theory highlights long-term shifts in birth rates, death rates, and population growth, showing that development transforms population dynamics over time. Early societies experienced high
Simple Linear Regression Model Simple Linear Regression Model is used to estimate the relationship between one dependent and one independent variable. It is also called bivariate or two variable regression model. For example, regression of consumption on disposable income, regression of sales revenue on advertisement expenses, regression of log of
Aggregate Demand Aggregate demand is the total quantity of goods and services demanded by all households, all firms, government and foreign sector in a year. It is the sum of consumption, investment, government expenditure and net exports. It is also called aggregate expenditure or aggregate spending. Therefore, AD represents the
Classical Theories of Economic Development Linear Stage Models Rostow Stages of Economic Development Harrod-Domar Growth Model Structural Change Models Lewis Model of Economic Development Fei-Ranis Two-Sector Model International Dependence Model Neocolonial Dependence Model The False-paradigm Model The Dualistic-development Thesis Neoclassical Growth Model Solow Growth Model Introduction International dependence models gained
In the previous couple of posts we learned about what a project is, it’s different types, project dimensions, project life cycle which you can access at What is Project, Its Types, Dimensions and Project Life Cycle. Moreover, we have also discussed what is project appraisal, its objectives and various aspects of
Econometrics: Literally, the word econometrics means economic measurement or the measurement of economic relationships. According to Goldberger: Econometrics may be defined as the social science in which the tools of economic theory, mathematics and statistical inference are applied to the analysis of economic phenomena. Uses/functions/objectives of econometrics: Testing economic theories and models Estimating numerical values
Short Questions Absolute poverty is the situation of being unable or only barely able to meet the basic needs of life such as food, clothing, shelter, and basic health care. According to World Bank, nowadays global poverty line is 3 USD per person per day. Absolute poverty line is the
Classical Theories of Economic Development Linear Stage Models Rostow Stages of Economic Growth Harrod-Domar Growth Model Structural Change Models Lewis Two-Sector Model Fei-Ranis Two-Sector Model International Dependence Model Neocolonial Dependence Model The False-paradigm Model The Dualistic-development Thesis Neoclassical Growth Model Solow Growth Model In the couple of previous blogs we
Short Questions Consumption is that part of disposable Income which is spent on consumer goods and services. The relationship between consumption and income is represented by consumption function written as C=f(Y). The slope of this function is called MPC. Saving is that part of disposable income that is not consumed.
LQ.1. Explain the law of diminishing utility. Illustrate your answer with appropriate diagrams. Discuss also the assumptions and limitations of this law. Law of Diminishing Marginal utility (Gossen’s First Law) “The Law of Diminishing Marginal Utility states that as a consumer consumes more and more units of a good, then
LQ-1 Define development economics. What is the scope/significance of development economics. What is Development Economics? Development economics is the subfield of economics which studies how economies are transformed from stagnation to growth and from low income to high income status and overcome the problem of extreme poverty. Why a separate
In the previous post we explained the concept of regression analysis in detail along with its meaning, uses and objectives. Moreover, we also discussed how regression analysis differs from correlation analysis and causation. Further, we differentiate conditional and unconditional mean. To read previous article click Nature of Regression Analysis. In
In this post, we will discuss what is a project, its key characteristics, major types, and practical examples. We will also examine important project dimensions and explain the complete project life cycle, starting from initiation to its completion. This structured approach will help you develop a strong conceptual foundation of