In order to profit from the economic growth in their society farmers can (1) increase the yields of their crops and animals, (2) switch to the production of high value products for which there is an increasing demand in the market, (3) increase the labour productivity on their farm, (4) find non-farm sources of income for some or all of their…

Models the interaction between human capital supply and demand with a production block and a labor supply block explored empirically for the Netherlands on a time-series basis. Simulates economic development, assuming a 20-year international business cycle. Shows government stabilization policy as effective in maximizing long-range growth.…