# Part 3 Solow Model of Economic Growth सोलो का आर्थिक विकास मॉडल

# Part 1 Solow Model of Economic Growth. सोलो का आर्थिक विकास मॉडल https://youtu.be/dbfaiGeJ1iA

# Part 2 Solow Model of Economic Growth. सोलो का आर्थिक विकास मॉडल https://youtu.be/syrzOOdj2oU

Solow model of long run economic growth is an improvement over Harrod-Domar model of economic growth.
K/Y and K/L is not Constant
Diminishing marginal productivity.
∆ Y/Y = ∆K/K = ∆L/L

Criticism

There is a absence of investment function in Solow’s model.
Labour and Capital are Substitutable to each other.
Technological progress is constant.
Solow assume that growth in Labour is constant. He emphasis more in role of capital.
No Study of Technical Progress.
Solow’s model is based on the unrealistic assumption that capital is homogeneous and malleable. But capital goods are highly heterogeneous and may create the problem of aggregation.
Catch Up Growth.

Видео # Part 3 Solow Model of Economic Growth सोलो का आर्थिक विकास मॉडल канала Know Economics