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Lecture Economics (6/e): Chapter 16 - Stephen L. Slavin

Chapter 16 - Economic growth and productivity. The following will be discussed in this chapter: Economic growth in the United States: The record; the role of productivity; the reasons our productivity has varied; the roles of savings, capital, and technology; the declining quality of our labor force; economic growth in the less developed countries; the malthusian theory of population. | Chapter 16 Economic Growth and Productivity 16-1 Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Chapter Objectives Economic growth in the United States: The record The role of productivity The reasons our productivity has varied The roles of savings, capital, and technology The declining quality of our labor force Economic growth in the less developed countries The Malthusian theory of population 16-2 Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. The Industrial Revolution and American Economic Development Prior to the Industrial Revolution Old age began around your 40th birthday You lived and died within a few miles of where you were born You spent most of your time farming You were illiterate 16-3 Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. The Industrial Revolution and American Economic Development • The industrial revolution made possible sustained economic growth and rising living standards for the first time in history 16-4 Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. The Industrial Revolution began in England around the middle of the 18th century 16-5 Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. The Industrial Revolution and American Economic Development The Industrial Revolution entered its second phase in America in the early years of the 20th century It was based on the mass production of cars, electrical machinery, steel, oil, and chemicals 16-6 Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. The Industrial Revolution and American Economic Development Since the 1980s, the third phase of the Industrial Revolution has taken hold in Japan, Western Europe, and the newly industrialized countries of Southeast Asia as well as in the United States This phase is based largely on consumer electronics, computer systems, communications systems, computer software, and advances in manufacturing processes 16-7 . | Chapter 16 Economic Growth and Productivity 16-1 Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. Chapter Objectives Economic growth in the United States: The record The role of productivity The reasons our productivity has varied The roles of savings, capital, and technology The declining quality of our labor force Economic growth in the less developed countries The Malthusian theory of population 16-2 Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. The Industrial Revolution and American Economic Development Prior to the Industrial Revolution Old age began around your 40th birthday You lived and died within a few miles of where you were born You spent most of your time farming You were illiterate 16-3 Copyright 2002 by The McGraw-Hill Companies, Inc. All rights reserved. The Industrial Revolution and American Economic Development • The industrial revolution made possible sustained economic growth and rising living standards for the .