... productivity. The body of theory that does thisiscalled the theory of 'human capital', and Iamgoing to draw extensively on this theory in the remainder of these lectures.For the moment, however, ... contrast to the model of section2)has not been fullyanalyzed in the literature. The text gives a self-contained derivation of the main features of balanced paths. The treatment of behavior off balanced ... understood as those of the one-good model, but I would conjecture that for any initial configuration(K(O), h(O)) of the twokinds of capital, the solution paths (of either the efficient or the equilibrium...