Resumen de Pedagogical ethics and economic growth

Christopher E.S. Warburton

• This paper analyzes some of the factors that impinge on the residualinvestment ratio of a growth model. It highlights some of the major challenges of acquiring and disseminating human capital in the US. Inhibiting conditions include the level of pedagogical ethics, institutional policies, financial infrastructure, and public policies that magnify the residual-to-investment ratio. Some of the challenges are presented in the form of pedagogical frictions, evaluative biases, and external costs that can degrade aggregate educational outcomes (human capital) and corresponding national income. The paper argues that the inhibiting factors have direct and implicit consequences for the empirical findings of endogenous growth models; especially because the inhibiting factors increase or decrease the value of human capital and, therefore, the growth residual.