01735cas a2200241 a 4500 AALejournalIMF003318 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451855951 1018-5941 BD-DhAAL BD-DhAAL Sarel, Michael. On the Dynamics of Economic Growth / Michael Sarel. Washington, D.C. : International Monetary Fund, 1994. 1 online resource (34 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper examines the dynamics of economic growth. First, it demonstrates that the standard neoclassical growth model with constant elasticity of intertemporal substitution is not consistent with the patterns of development we observe in the real world, once we consider the initial conditions. Second, it examines an alternative growth model, which is consistent with endogenously determined initial conditions and also generates dynamics that are in accord with the historical patterns of growth rates, capital flows, savings rates and labor supply. The alternative model is a generalized version of the neoclassical growth model, with increasing rates of intertemporal substitution due to a Stone-Geary type of utility. Mode of access: Internet IMF Working Papers; Working Paper ; No. 1994/138 Full text available on IMF http://elibrary.imf.org/view/journals/001/1994/138/001.1994.issue-138-en.xml IMF e-Library