Skip to Content


No results


No results


No results

Search Results


No results
Search events using: keywords, sponsors, locations or event type
When / Where
All occurrences of this event have passed.
This listing is displayed for historical purposes.

Presented By: Department of Economics

Additive Growth

Thomas Philippon, NYU Stern

Additive Growth Additive Growth
Additive Growth
Growth theory is based on the assumption of exponential total factor productivity (TFP) growth. Across countries and time periods I find that TFP growth is additive. There is no evidence that TFP increments increase with the level of TFP as predicted by the exponential model. Even starting from low priors, Bayesian estimation selects the additive model over the exponential one. The additive growth model, unlike the exponential one, provides useful long-term forecasts for TFP. For the distant past the model suggests piecewise linear evolutions with infrequent changes: the size of TFP increments increases around 1650, 1830 and 1930. For the distant future the model predicts ever increasing increments in standards of living but with falling real interest rates and growth rates that converge to zero.

Livestream Information

September 20, 2023 (Wednesday) 4:00pm
Meeting Password: macrosem

Explore Similar Events

  •  Loading Similar Events...

Back to Main Content