New Study Reveals Key Factors Driving Irish Economic Growth Boom
The article explains how Irish economic growth from 1951 to 1984 can be understood using production functions. By analyzing different types of production functions, the researchers found that the Cobb-Douglas model with constant technical progress was the most accurate. They discovered that for every increase in capital, output increased by 0.34, and for every increase in labor, output increased by 0.67. Additionally, technical progress contributed positively to a growth rate of 1.7% per year.