LIFESPAN AND OUTPUT

This paper develops a finite-lifetime continuous-time model of human capital acquisition. Exogenous technological progress has two aspects, a knowledge frontier and an ease-of-learning parameter. We find that as lifespan increases: (1) output per person-hour rises in a concave fashion, and (2) learning during the work-phase of life only occurs when individuals have a sufficiently long lifespan. As a result, countries that differ in the average lifespan of their inhabitants can have permanently different levels of output per person even in the presence of free trade, perfect capital markets and common production functions. ( JEL O33, J24, F43, D91)     

The Role of Statistical Models in the Prediction of Tropical Cyclone Motion

Tropical cyclones (tropical storms, hurricanes, typhoons, etc.) occur over many of the earth's tropical marine areas. Responsibility for tracking and predicting the future course of these storms is assigned to one or more domestic or foreign meteorological services. These services routinely activate a number of statistical and dynamical prediction models as objective guidance preparatory to issuing official forecasts on these storms. In this article, the role of the statistical models in this process is examined.