1. Lectures in Macroeconomics- Charles W. Upton Applying the Malthusian Model

2. The Basic Graph Output Population Y = Y(N) S = sN

3. Applying the Malthusian Model The Basic Graph Output Population Y = Y(N) S = sN N*

4. Applying the Malthusian Model The Basic Graph Output Population Y = Y(N) S = sN Y= (²/ ³ )Y(N) N* N**

5. Applying the Malthusian Model The Basic Graph Output Population Y = Y(N) S = sN Y= (²/ ³ )Y(N) N* N** Workers will starve, while landowners will be rich

6. Applying the Malthusian Model The Basic Graph Output Population Y = Y(N) S = sN Y= (²/ ³ )Y(N) N* N**

7. Applying the Malthusian Model The Basic Graph Output Population Y = Y(N) S = sN Y= (²/ ³ )Y(N) N* N** In short, you cannot help the poor. It makes no sense to try.

8. Applying the Malthusian Model The Basic Graph Output Population Y = Y(N) S = sN

9. Applying the Malthusian Model Determination of the Subsistence Level Birth and Death Rates Standard of Living Birth Rate Death Rate s

10. Applying the Malthusian Model Improved Medical Care Birth and Death Rates Standard of Living Birth Rate Death Rate ss’

11. Applying the Malthusian Model Improved Medical Care Birth and Death Rates Standard of Living Birth Rate Death Rate ss’ Well-meaning investments in medical care will make people worse off, not better off

12. Applying the Malthusian Model Legalized Abortion Birth and Death Rates Standard of Living Birth Rate Death Rate s s”

13. Applying the Malthusian Model Legalized Abortion Birth and Death Rates Standard of Living Birth Rate Death Rate s s” However steps to lower the birth rate, such as legalized abortion, will make people better off

14. Applying the Malthusian Model Two Key Points This is a simple model, easily understood, that makes powerful predictions.

15. Applying the Malthusian Model Two Key Points This is a simple model, easily understood, that makes powerful predictions. We do our analysis without any detailed numerical analysis. –If you want to know what “s” is or how long it will take us to reach equilibrium, you are out of luck. –You’ll see this same type of discussion later.

16. Applying the Malthusian Model End ©2003 Charles W. Upton. All rights reserved