diff --git a/lectures/_static/lecture_specific/long_run_growth/tooze_ch1_graph.png b/lectures/_static/lecture_specific/long_run_growth/tooze_ch1_graph.png index c25ac0c4..bb1ace2a 100644 Binary files a/lectures/_static/lecture_specific/long_run_growth/tooze_ch1_graph.png and b/lectures/_static/lecture_specific/long_run_growth/tooze_ch1_graph.png differ diff --git a/lectures/_static/quant-econ.bib b/lectures/_static/quant-econ.bib index d288df76..9d0395f7 100644 --- a/lectures/_static/quant-econ.bib +++ b/lectures/_static/quant-econ.bib @@ -3,6 +3,31 @@ Note: Extended Information (like abstracts, doi, url's etc.) can be found in quant-econ-extendedinfo.bib file in _static/ ### +@book{Burns_2023, + title={Milton Friedman: The Last Conservative by Jennifer Burns}, + author={Burns, Jennifer}, + year={2023}, + publisher={Farrar, Straus, and Giroux}, + address = {New York} +} + +@article{kuznets1939incomes, + title={Incomes from independent professional practice, 1929-1936}, + author={Kuznets, Simon and Friedman, Milton}, + journal={National Bureau of Economic Research Bulletin}, + number = {72-23}, + year={1939}, + publisher={National Bureau of Economic Research} +} + +@book{friedman1954incomes, + title={Income from Independent Professional Practice}, + author={Friedman, Milton and Kuznets, Simon}, + year={1945}, + publisher={National Bureau of Economic Research}, + address = {New York} +} + @book{smith2010wealth, title = {The Wealth of Nations: An inquiry into the nature and causes of the Wealth of Nations}, author = {Smith, Adam}, diff --git a/lectures/equalizing_difference.md b/lectures/equalizing_difference.md index 2582c104..bb95bf75 100644 --- a/lectures/equalizing_difference.md +++ b/lectures/equalizing_difference.md @@ -18,6 +18,12 @@ kernelspec: This lecture presents a model of the college-high-school wage gap in which the "time to build" a college graduate plays a key role. +```{note} +Milton Friedman used our model to study whether differences in the earnings of US dentists and doctors were justified by competitive labor markets or whether +they reflected entry barriers imposed by US governments working in conjunction with doctors' lobbies. Chapter 4 of Jennifer Burns {cite}`Burns_2023` presents an +interesting account of Milton Friedman's joint work with Simon Kuznets that eventually led to the publication of {cite}`kuznets1939incomes` and {cite}`friedman1954incomes`. To map Friedman's application to our model, think of our high school students as Friedman's dentists and our college graduates as Friedman's doctors. +``` + The model is "incomplete" in the sense that it is just one "condition" in the form of a single equation that would be part of set equations comprising all "equilibrium conditions" of a more fully articulated model. The condition featured in our model determines a college, high-school wage ratio that equalizes the present values of a high school worker and a college educated worker.