The Generation,Development And Enlightenment Of The Unified Growth Theory

From the vertical point of view,whether it will examine the global economy as a whole,or from different regional or national level,the economy has experienced a from long-term stagnation,slow growth,rapid growth to the growing process.From the horizontal point of view,A.D.1000 years ago,the world which was under low per capita income and population growth had almost no gap with respect to the living standards of different countries and regions.However,up to now,the gap in the income per capita between the rich and the poor has reached dozens of times.Furthermore,the great divergence on the economy development is generally thought that began with the industrial revolution.Developed countries first begun with the Industrial revolution,and the mode of production gradually from agricultural dominated to industry dominated,and with the increasing demand for human capital,education reforms has been boosted and new knowledge can be spread widely and fully.However,what on earth is the reason caused the great divergence phenomenon? Why some countries first escaped from the Malthusian trap but others not? Based on the above questions,most of the existing growth theoretical research can only explain a certain stage of economic development,but cannot explain the whole process of the economic development of human history.Therefore,we need a longer time frame to explore the mechanism of economic growth.And on the basis of previous studies,to establish the microeconomic foundation of inner transformation,only in our more deep understanding of the economic development in different stages of the inner transformation mechanism,we can better provide the insights of east and west divergence.Since Galor and Weil(2000)developed a unified growth theory which first advanced the interpretation with respect to the long-run economic growth over the entire history of human species,the theory has attracted widely attention from economists.Although the unified growth theory generated at the turn of the century,and the development history is short,but this theory is under its booming period.And this theory is under a single unified framework to capture how the economy evolves from an epoch of Malthusian stagnation ultimately to a Modern Growth regime.This pattern also reveals the underlying micro foundations for economic growth and transition.This paper will follow the path which is considered as the generation,development and enlightenment and use the equilibrium analysis and dynamic analysis to review with the unified growth theory.There are four chapters in this paper:The first part include introduction.This part mainly towards the analysis of the existing literature related to the unified growth theory and to have an in-depth understanding on predecessors' theory research.The second part is the introduction of the unified growth theory.First of all,through the introduction of the historical facts of the economic growth,this article summarizes the defects and limitations of traditional growth theory,puts forward a unified framework to research the unity of the long-term economic growth.Secondly,the paper introduced the development of unified growth theory,main features,representative and its economic theory.The third part is the central of the paper and consists of two parts so as to capture the development of the unified growth theory.On the one hand,review a core model —G-W model which explores dynamic approach and equilibrium approach to interpret the endogenous transition forces related to the whole process of the long-run growth.On the other hand,this paper explores technological progress,human capital accumulation and demographic transition accompanied by typical models as examples to research about economic transition.The last part incorporates the enlightenment.This chapter review the unified growth theory from two aspects of influence and limitations profile and throughout the above research about the unified growth theory and combined with the present economic operation and specific problems that exist in China,this paper has proposed corresponding policy recommendations.