1. The Lewis Model of Development
... of capital and the abundance of labor). The model points out the importance of surplus labor in generating inter-sectorial shift of employment and then triggering economic growth without increase in real wages. As pointed out by , the two sector economy model continued to be relevant and an important policy guide for labor abundant countries with heavy population pressure and scarcity of cultivable land. In the subsistence sector; Lewis ... in food, through investment in physical and human capital, technological change and government support (Lewis W. A., 1969). Empirically, The LRF mod...
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- Approx Pages: 18
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- Grade Level: Undergraduate