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2023/2024  BA-BHAAV6009U  Economic Growth and Decline of Firms, Industries and Nations

English Title
Economic Growth and Decline of Firms, Industries and Nations

Course information

Language English
Course ECTS 7.5 ECTS
Type Elective
Level Bachelor
Duration One Semester
Start time of the course Autumn
Timetable Course schedule will be posted at calendar.cbs.dk
Max. participants 150
Study board
Study Board for BSc in Economics and Business Administration
Course coordinator
  • Battista Severgnini - Department of Economics (ECON)
Main academic disciplines
  • Economics
Teaching methods
  • Face-to-face teaching
Last updated on 08-12-2023

Relevant links

Learning objectives
Upon the end of the course, the student will be able to:
  • Analyze the determinants of economic growth both from a micro and a macro economic perspective.
  • Describe and rationalize the main assumptions behind growth models and relate them with the theories formulated in political science, business and international relations.
  • Analyze the impact of economic development and crises, or changing institutional arrangements on economic events.
  • Evaluate the impact of theory and economic development on corporate and political decision making and strategy, and learn how companies and governments (can) make use of the theoretical concepts.
  • Solve algebraically simple growth models in order to determine the equilibrium of the variables.
  • Describe and illustrate these models, perform policy experiments and interpret verbally what happens when moving from one equilibrium to another.
Course prerequisites
The course requires a basic knowledge of microeconomics and macroeconomics.
Economic Growth and Decline of Firms, Industries and Nations:
Exam ECTS 7,5
Examination form Written sit-in exam on CBS' computers
Individual or group exam Individual exam
Assignment type Written assignment
Duration 4 hours
Grading scale 7-point grading scale
Examiner(s) One internal examiner
Exam period Winter
Aids Limited aids, see the list below:
The student is allowed to bring
  • Any calculator
The student will have access to
  • basic IT application package
Make-up exam/re-exam
Same examination form as the ordinary exam
The number of registered candidates for the make-up examination/re-take examination may warrant that it most appropriately be held as an oral examination. The programme office will inform the students if the make-up examination/re-take examination instead is held as an oral examination including a second examiner or external examiner.
Course content, structure and pedagogical approach

The aim of this course is to understand the drivers of economic growth and decline at three different levels: firms, industries and nations. In addition, the students should relate the economic models to the theories and findings of other fields, such as political science, business, and international relations. We will try to answer questions of the type: “Why are some countries rich and other poor?”, “What is the role of human capital in the firms‘ production process?” “Are culture, geography, climate, and natural resources relevant for explaining firms‘ success in a global competition?” “Is income inequality harmful?”
The structure of the course could be divided into three parts. The first part of the course deals with the underlying factors of economic growth, i.e. capital accumulation, human capital and their complementarity and substitution in the production process. The second part will study the role played by productivity, technology and efficiency both at micro and at macro level. Finally, we are going to analyse the fundamentals behind economic growth, i.e. politics, culture, institutions, geography and climate change.  
Outline of the course:

  1.   Economic Growth and decline: an introduction and stylized facts
  2. Machines and Computers: the role of capital in firms
  3. Labor and Human Capital
  4. Productivity, Efficiency and Technological Change
  5. Trade and Growth
  6. The role of the Government
  7. Income inequality and Social Conflicts
  8.  Geography, Climate and Natural Resources
  9. Industrial Revolutions and Institutions.
Description of the teaching methods
Lectures and Exercises.
Feedback during the teaching period
Feedback is provided in numerous ways throughout the course:

During office hours, we can discuss particular problems and give advice on individual academic development questions

During classes, we will do have small exercises and discussions of solutions suggested by students
Student workload
Preparation 142 hours
Lectures and Exercises 36 hours
Exam / Home Assignments 19 hours
Expected literature

Ashram, Quamrul and  David N. Weil, Economic Growth, Pearson International Edition, fourth edition, forthcoming.


If the book is not available:


Weil, David N., Economic Growth, Pearson International Edition, latest edition
Additional optional readings will be posted on the website of the course.

Last updated on 08-12-2023