By Henry J. Aaron, James M. Lindsay, Pietro S. Nivola

ISBN-10: 0815701268

ISBN-13: 9780815701262

This article analyses the foremost household and international coverage demanding situations dealing with the united states over the 2000s. It explores the demanding situations and possibilities bobbing up from the battle on terrorism, financial development, globalization and an more and more varied - and getting older - society.

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Henry J. Aaron, James M. Lindsay, Pietro S. Nivola's Agenda for the Nation PDF

This article analyses the main household and overseas coverage demanding situations dealing with the united states over the 2000s. It explores the demanding situations and possibilities bobbing up from the battle on terrorism, fiscal progress, globalization and an more and more varied - and getting older - society.

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Once an idea exists, the cost of letting another person use it is zero. But at this point, different economic principles cut in different directions. If the price of using an idea is zero, private companies have no incentive to create it. Profit-oriented businesses, which must cover their costs to keep operating, will not ordinarily invest in something that cannot be sold at a profit. Thus the price that will encourage companies to develop new ideas is higher than the price that will encourage the efficient use of existing ideas.

The index is given by Et = Σi wiτ Sit , where wiτ is the (adjusted) wage of education group i (relative to a reference education group) in a base period τ, and Sit is the share of education group i in employment (or total hours) in year t. The wage of each education group is adjusted for differences across the groups in experience and demographic variables. If one assumes that differences in education reflect the impact of schooling on productivity, the growth in this index measures the contribution of educational upgrading to aggregate labor-input growth (through improvements in the average human capital or “quality” of the work force).

5 percent a year since 1995. The ratio of capital to output, in contrast, was relatively steady from before World War I until the past decade. 54 Starting in 1994, however, gross physical investment—much of it in information technology—began to rise sharply as a share of GDP (see figure 2-6). The extraordinary and ongoing revolution in information technology has substantially increased investment in physical capital since the mid-1990s and is likely to continue to increase such investment in the future.

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Agenda for the Nation by Henry J. Aaron, James M. Lindsay, Pietro S. Nivola


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