Boserup Thesis Geography

Boserup Thesis Geography-90
This deceleration in productivity growth may be looked upon either as a failure of the “Swedish Model” to accommodate new growth forces or as another case of the “productivity paradox” in lieu of the information technology revolution. In terms of contribution to overall growth, TFP has increased its share for every period.The TFP share was low in the 1840s but there was a very marked increase with the onset of modern industrialization from the 1870s.Source: Maddison (2006); Krantz/Schön (forthcoming 2007); World Bank, World Development Indicator 2000; Groningen Growth and Development Centre, com.

This deceleration in productivity growth may be looked upon either as a failure of the “Swedish Model” to accommodate new growth forces or as another case of the “productivity paradox” in lieu of the information technology revolution. In terms of contribution to overall growth, TFP has increased its share for every period.The TFP share was low in the 1840s but there was a very marked increase with the onset of modern industrialization from the 1870s.Source: Maddison (2006); Krantz/Schön (forthcoming 2007); World Bank, World Development Indicator 2000; Groningen Growth and Development Centre, com.

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Up to the 1970s per capita growth rates increased for each successive period.

In an international perspective it is most notable that per capita growth rates increased also in the interwar period, despite the slow down in foreign trade.

An analysis in a traditional growth accounting framework gives a long term pattern with certain periodic similarities (see Table 3).

Thus, total factor productivity growth has increased over time up to the 1970s, only to decrease to its long run level in the last decades.

At the same time new growth forces appeared with the electronic revolution, as well as with the advance of a more service based economy.

It may be the case that this structural change hit the Swedish economy harder than most other economies, at least of the industrial capitalist economies.

This is largely thanks to the transformation of the economy and society from agrarian to industrial.

Sweden is a small economy that has been open to foreign influences and highly dependent upon the world economy.

By the 1970s, however, the Swedish income level was more than three times higher than the global average and among the highest in Europe.

Figure 1 Swedish GDP per Capita in Relation to World GDP per Capita, 1870-2004 (Nine year moving averages) Sources: Maddison (2006); Krantz/Schön (forthcoming 2007). The annual variation in world production between Maddison’s benchmarks 1870, 19 is estimated from his supply of annual country series. Sweden was able to take advantage of technological and organizational advances made in Western Europe and North America.

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