concept of economic growth revealed its main definition, according to which economic growth is considered to be quantitative and qualitative changes of the social product for a specific period of time.
Russian economic growth theory in its development largely followed and guided by the tenets of the achievements of the Marxist school.In the middle of the last century, this school has achieved really significant scientific results.The Marxist theory of economic growth based on two main principles: economic growth due to the accumulation and progressive impact on the growth of public property.
Western growth theory tried to reflect the diversity and multi-factor of economic development, putting forward many interesting hypotheses and concepts.
Western economists have gradually stopped so carefully examine the short- and medium-term economic growth model and turned their focus on long-term growth model.In addition, scientists have switched their attention to the detection of growth factors in the representation of the process of growth in more accurate measurements and specific numbers.
Around the middle of the century there were such growth model , which attempts to reflect the inherent growth mathematically to study the realm of possibility, highlight the desired area.
This neoclassical direction uses the common to all models analysis tool in quantitative terms as the production function.
the basis of production functions, which can be used in building a model of economic growth , is two-factor functions considered dependent only on the volume of production factors of labor and capital.At the same time from the influence of other factors theory at this stage it is completely abstracted.
first such two-factor model was used by US researchers in the manufacturing industry.The developers of the idea were the mathematician Charles Cobb and economist Paul Douglas.Subsequently, the Cobb-Douglas production function is beginning to be widely used by many scientists for the development of their own growth models, taking into account the widening of production factors.
In the late 50s it has successfully applied the American economist R.Solou, take one of the first attempts to study, depending on the factors of production and technological progress.The latter can be considered in different ways in different models of economic growth, either as an exogenous factor, either as endogenous.
R.Solou several equations used to describe the state of the macroeconomic system.His works have created new possibilities for the analysis of macro-economic systems, and the development of new growth models of this type.By and large, neoclassical model by relying on the functions of the unit of production, determine the quantitative characteristics that are taken into account when assessing the impact of production factors on economic growth.
Neoclassics proceeded from the premise that the market price provides a balance of supply and demand of investment resources, savings, and other factors.In contrast, the neo-Keynesians proceeded from the opposite premise, considering economic growth as something unstable.For such models include E. Domar model, N. Kaldor, Harrod and E. Hansen and others.
Stages of Economic Growth according to the American sociologist W. Rostow, the following: the traditional society, a society in transition, a period of revolutionary changes, the period of a mature society and the era of high public consumption stage.
