Question

1. What         are      the       differences     between         The     Lewis Model and      The     Harris-Todaro     Model?           

           

Answer 1

The Lewis Model is a model which studies 2 sectors namely rural and urban sector and studies the relationship or link between the supply of labor and the transformation or transition of labor and what effect, impact or result it brings to the development of an economy. whereas the Harris-Todaro model studies the difference in income between the rural and urban sectors and how they vary from each other. On a general instance the income if urban sector is generally high which appears to be attractive for the rural population as a result of which they tend to shift to the urban area. On a conceptual overview both the models both the models study and analyze the development in urban areas along with studying the migration process as well but the assumptions of both the models differ among them.