Robert Solow’s profile picture

Robert Solow

Economist
Robert Solow’s profile picture
Net worth 2018: $109.3 Million
Residence: Brooklyn, New York
Country: United States
BirthDay: 23 August 1924
Sigh: Virgo
Height: 1.68 m
BIOGRAPHY

Robert Solow was bornon 23 August 1924 in Brooklyn, New York, American, is Economist. Robert Merton Solow is an American economist who received the Nobel Memorial Prize in Economic Sciences for the development of a mathematical model for economic growth. He based his model on the earlier Harrod-Domar model but incorporated a significant difference in his own model. This difference lay in the fact that Solow assumed that full employment could be achieved by adjusting the wages given to the workforce. His theory totally contradicted the earlier theory that the economy was facing a great crisis. He soon followed with another theory that labor and capital were not the only two factors required for economic growth as was believed by economists till then. He suggested that a third factor has to be considered if the rate growth is to be calculated in real terms. This factor is called the ‘Solow residual’ which can be attributed to the technical changes that are required for healthy economic growth. He also developed a new model which made new capital more important than old capital which is based on the technology prevalent at the time. With new capital more changes could be brought about in the technological field. His articles on economic growth brought about a huge change in the perspectives that economist had till then about the realities of economic growth.

NET WORTH STATISTIC
2018

$109.3 Million

TIMELINE
1979

He became the president of the ‘American Economic Association’ in 1979

1975

From 1975 to he was a director of the Boston Federal Reserve Bank and its chairman during the last year

1968

He was a member in the President Nixon’s ‘Commission on Income Maintenance’ from 1968 to 1970

1967

‘The New Industrial State of Son of Affluence’ was published in 1967

1964

He was a member of President Johnson’s ‘Committee on Technology, Automation and Economic Progress’ from 1964 to 1965

1961

Kennedy administration as a senior economist and worked with council from 1961 to 1962 and was a consultant for the council from 1962 to 1968

1958

His second article ‘Technical Change and the Aggregate Production function’, written in collaboration with Paul Samuelson and Robert Dorfman, came out in 1958 while his third work ‘Capital Theory and the Rate of Return’ was published in 1963

1956

Solow’s first major work was an article titled ‘A contribution to the Theory of Economic Growth’ which was published in 1956

1953

His interests turned gradually to macroeconomics and he worked with Samuelson on the ‘Von Neuman growth theory’ during 1953, the ‘theory of capital’ during 1956, ‘linear programming’ theory during 1958 and the ‘Phillips curve’ during 1960

1950

In 1950 he developed the mathematical model which shows how various factors can jointly contribute to create sustained economic growth for the country

1949

In 1949 he was offered the post of Assistant Professor in the Economics Department at the Massachusetts Institute of Technology and joined the institute in 1950

1945

After being discharged from the Armed Forces in 1945 when the war was over, Solow rejoined the Harvard University as research assistant under Wassily Leontief

1942

In 1942, at the age of 18, he left the university and joined the Army Signal Corps to fight in the Second World War and served briefly in North Africa, Sicily and Italy

1940

Solow joined the Harvard College in 1940 where he studied sociology, anthropology and elementary economics initially

1924

Solow was born in Brooklyn, New York, USA on August 23, 1924 into a Jewish family

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