Ricardo's Theory of Growth and Accumulation: A Modern View

In the aftermath of the Napoleonic Wars, Britain experienced a stagnant economy, and economist David Ricardo believed that re-integrating Britain into the world market would stimulate capital accumulation and population growth. This book explores and elaborates on Ricardo's arguments and the models used by subsequent scholars in support of his work, examining the Ricardian system through a one-sector and two-sector economy and considering the impact of international trade. It also presents more sophisticated variants of the two-sector model and introduces accumulation in the world economy. The book is of interest to students and scholars of Ricardo, classical economics, growth theory, international economics, and globalization.

Format: Paperback / softback
Length: 138 pages
Publication date: 29 April 2022
Publisher: Taylor & Francis Ltd

After the Napoleonic Wars, Britain faced a stagnant economy, and economist David Ricardo believed that reintegrating Britain into the world market would promote capital accumulation and population growth. However, many of Ricardo's arguments have yet to be translated into modern classical economics. In his Theory of Growth and Accumulation, Ricardo aimed to bridge this gap. This latest entry in the Graz Schumpeter lecture series explores and elaborates on Ricardo's arguments and the models used by subsequent supporters of his work. The book begins by examining the Ricardian system in a one-sector economy, following Kaldor's model, and then in a two-sector economy, following Pasinetti's model. These building blocks are developed through the analysis of a small open economy, allowing for a simple examination of the impact of international trade. The discussion expands further by considering the world economy, presenting more sophisticated variants of the two-sector model that endogenously determine commodity prices through trading interactions among countries. Finally, the book makes Ricardo's case by introducing accumulation into the world economy.

This book is of interest to students and scholars of Ricardo, classical economics, growth theory, international economics, and globalization. The author aimed to make the analytical parts compelling to historians and the historical parts compelling to theorists. The book provides a comprehensive and accessible introduction to Ricardo's ideas, making it valuable for both academic and non-academic audiences.

Weight: 260g
Dimension: 216 x 138 (mm)
ISBN-13: 9780367505905