Endogenous Growth Model of Romer Part 1: Setup

[@KlausPrettner]

Thank you for watching the video! I hope you found it useful.
For part 2, please see
th-cam.com/video/0vAf3noRuiQ/w-d-xo.html
For more videos on macroeconomics, please see my lecture "Advanced Macroeconomics":
th-cam.com/play/PLHCd4G3qW92kRLjoJN32TNz5QyhftE83j.html

[@PriyankaSingh-se6by]

while calculating the profit of intermediate sector why you have not include the cost of patent along with the rental cost?

[@KlausPrettner]

One could do this but the fixed costs would drop out of the following optimization problem anyway, so nothing would change. To be precise, the profit maximization problem in the video refers to the maximization of operating profits.

[@torge1840]

do you maybe have a source for the model structure picture?

[@KlausPrettner]

I did the model structure in IPE (ipe.otfried.org/) based on the sectors that the Romer model features. I hope this helps.

[@ernestina1996]

Thanks for your more explanation about endogenous growth model but l need this notes or material

[@KlausPrettner]

You can send me an email to my university email adress at WU Wien (see www.wu.ac.at/economics/mitarbeiter-innen/prettner-k). I can then send you the pdf file.

[@ahmedbouallala6048]

bonsoir .
Comment produire des machines dans le secteur intermedaire , sans main-d'œuvre ? Selon vous, la force de travail était répartie entre le secteur des biens finales et le secteur de R&D

[@KlausPrettner]

This is a simplifying assumption in the model so that only the split of labor between the production sector and R&D needs to be taken into consideration.

[@ecosutra2849]

Great lecture sir

[@KlausPrettner]

Thank you very much!