1. The Lewis Model of Development
... claimed that workers mainly contribute to economic development as: subsistence agriculture workers, causal labors, petty traders, and domestic services, women in the household and a general population increase. Also, the subsistence wage where the surplus labor is unlimited would be the equal to the minimum wage set by the state and/or may equal to average product per man in subsistence agriculture. Figure 1: capital accumulation with increase in employment in ... this point of view, the continueous extraction of additional workers from the subsistence sector leads to the rise of the ma...
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- Grade Level: Undergraduate