DEVELOPMENT OF PRODUCTION FUNCTION MODEL IN ORDER TO QUANTIFY THE CONTRIBUTION OF FACTORS TO LONG-TERM GROWTH IN ROMANIA

by Albu, Lucian Liviu
Published in Romanian Journal of Economic Forecasting, 2004, volume 5 issue 1,
5-14

Abstract

Starting from the classical model of the Cobb-Douglas production function, the paper investigates different scenarios for the Romanian economy on the basis of different assumptions regarding the modelís parameters. The adapted model also tries to cover the implications of some peculiarities of the Romanian transition economy, such as a large agricultural sector.

Keywords: Cobb-Douglas production function, long-term economic growth, macroeconomic forecasting
JEL Classification: O41