“Who says growth is over?”
From Stagnation to Prosperity: The Answer to Innovative Growth

American economist Robert J.
When Gordon declared the limits of technology and Larry Summers sounded the alarm about "permanent low growth," the world began to accept the end of growth as a given.
Will the history of human prosperity and economic growth truly come to a halt in the face of structural limitations and pessimism?
Professor Oded Galore, the founder of the Unified Growth Theory, which explains the entire course of human economic history in a consistent framework and is considered a strong candidate for the Nobel Prize in Economics, directly challenges all of these pessimistic and fragmented theories.
Professor Galloway, in his book "Integrated Growth Theory," which condenses the academic achievements of his life, reveals the driving force that enabled humanity to transition from stagnation for hundreds of thousands of years to a period of explosive growth, and the fundamental roots of inequality among modern nations. By doing so, he elucidates the essence of growth that has enabled humanity to move from stagnation to prosperity and from stagnation to leap forward.
Who says growth is over? Professor Galore's insight reveals that growth isn't over, but that we've simply misunderstood its mechanisms.

Integrated growth theory provides a fundamental framework for analyzing the evolution of individuals, societies, and economies throughout human history.
This theory examines the following main characteristics of the developmental process within a single analytical framework:
(i) the era of Malthusian stagnation that spanned most of human history, (ii) escape from the Malthusian trap and the resulting surge in per capita income and population growth rates, (iii) human capital formation that emerged during the development process, (iv) the beginning of demographic transition, (v) the current era of sustained economic growth, and (vi) the gap in per capita income between countries.
The theory also identifies the key economic forces that led to the remarkable transition from stagnation to growth, highlighting the importance of these factors in understanding the modern growth process in both advanced and developing economies.
--- p.24, from “Chapter 1 Introduction”

In the second stage of industrialization, major changes occurred in the production process.
The dramatic increase in industrial demand for human capital triggered human capital formation, which ultimately led to a significant decline in birth rates and population growth rates.
Thanks to demographic transitions, the growth process is no longer bound to the countervailing effects of population growth.
The economy was able to direct a significant portion of its gains through factor accumulation and technological advancement to strengthening human capital formation and increasing per capita income, thereby laying the foundation for sustained economic growth.
In conclusion, the timing of the leap from stagnation to growth across countries over the past two centuries, and the corresponding differences in the timing of population transitions, have created gaps in per capita income and population growth rates around the world.

--- p.105, from “Chapter 2: Transition from Stagnation to Growth”

The Malthusian period of stagnation, with its stagnant per capita income, concealed a potential dynamic that might ultimately have triggered a transition from stagnation to growth.
Although per capita income growth was minimal during this period, technological progress certainly accelerated, and the world's population grew significantly.
It is precisely this dynamic that played a key role in breaking away from the Malthusian economic system.
--- p.162, from “Chapter 3 Malthus’s Theory”

The evidence presented so far lends credence to two main causes of population change.
First, the fact that the demand for human capital gradually increased during the second stage of industrialization and that this was closely linked to the demographic transition period led researchers to argue that the increasing role of human capital in the production process led households to increase their investment in their children's human capital, thus starting the decline in the birth rate.
Extensive evidence from the period when demographic transitions began supports this core hypothesis.
Second, the reduction in the gender wage gap over the course of development, and its potential impact on increased female labor force participation and subsequent declines in fertility rates, are also central to demographic transition theory, consistent with the evidence.

--- p.202-203, from “Chapter 4 Population Change Theory”

Integrated growth theory shows that the transition from stagnation to growth is an inevitable byproduct of the development process.
Furthermore, it is argued that the inherent Malthusian interaction between the rate of technological progress and the size and composition of the population has accelerated the rate of technological progress, ultimately increasing the importance of human capital in a rapidly changing technological environment.
The increased demand for human capital and its impact on human capital formation has led to a decline in birth rates and population growth rates, further accelerating technological progress.
Demographic transitions enabled the economy to use a greater proportion of the gains from factor accumulation and technological progress to build human capital and increase per capita income rather than to fund population growth, ushering in an era of sustained economic growth.

--- p.265, from “Chapter 5 Integrated Growth Theory”

The theory of integrated growth focuses on the significant disparities in per capita income that have emerged around the world over the past two centuries.
This theory advances our understanding of three fundamental aspects of comparative economic development:
First, we identify the factors that influence the pace of transition from stagnation to growth and, consequently, the differences in global economic development.
Second, it illuminates the enduring impact of differences in prehistoric biogeographic conditions on the human capital composition and economic development of various countries.
Third, we identify the driving force that triggered the emergence of convergent groups and the characteristics of the economies that fall into each group.

--- p.333, from “Chapter 6: Integrated Growth Theory and Comparative Development”

The Neolithic Revolution fostered the division of labor and fostered trade relations between individuals and communities, increasing the complexity of human interaction and the returns to human capital.
Thus, individuals born to parents with characteristics that complemented the development of human capital were able to generate higher incomes and had many children during the Malthusian Trap era, when child rearing had a positive correlation with total resources.
As a result, they gained an evolutionary advantage that contributed to higher quality offspring, and over time, their prevalence increased within the population.
This selection process influenced human capital investment, which in turn promoted technological progress, which in turn initiated a mutually reinforcing interaction between human capital investment and technological progress, leading to a decline in population growth and a transition to an era of sustained economic growth.

--- p.403, from “Chapter 7: The Evolution and Development of Humanity”