ABSTRACT
In the last two chapters we have been concerned with the rate of change at any one point of time in three measures of the standard of living namely (i) income per head, (ii) the wage rate, and (iii) property incomes per property owner. We have considered these rates of growth in terms of three basic causes of growth:—(i) the rate of capital accumulation, (ii) the rate of growth of population, and (iii) the rate and nature of technical progress. We intend in this chapter to pass from a consideration of what determines the rates of change in standards of living at any one point of time to a consideration of the question whether these rates of change in standards of living will themselves be rising or falling or will remain at a steady level. We shall examine this question on the assumption that the basic forces behind the three causes of growth (namely the forces of capital accumulation, population growth, and technical progress) themselves remain constant.
