Introduction to Modern Economic Growth Another example of rapid economic growth with falling real wages is provided by the experience of the Mexican economy in the early 20th century See G´omezGalvarriato (1998) There is also evidence that during this period, the average height of the population might be declining as well, which is often associated with falling living standards, see L´opez Alonso, Moramay and Porras Condy (2003) There is a major debate on the role of technology and capital accumulation in the growth experiences of East Asian nations, particularly South Korea and Singapore See Young (1994) for the argument that increases in physical capital and labor inputs explain almost all of the rapid growth in these two countries See Klenow and Rodriguez-Clare (1996) and Hsieh (2001) for the opposite point of view The difference between proximate and fundamental causes will be discussed further in later chapters This distinction is emphasized in a different context by Diamond (1996), though it is implicitly present in North and Thomas’s (1973) classic book It is discussed in detail in the context of long-run economic development and economic growth in Acemoglu, Johnson and Robinson (2006) We will revisit these issues in greater detail in Chapter 36