First, in his 1956 paper “A Contribution to the Theory of Economic Growth,” Solow modeled that population increases and capital investment will not sustain economic growth. Rather, it is technological progress that, broadly speaking, is largely responsible for growth. If India wants to achieve higher per capita income by 2047, significant emphasis must be placed on increasing productivity. This is important for three reasons: (a) it is the main route to increasing wealth, (b) it is the only possible generator of growth once the accumulation of labor and capital factors reaches a plateau; and (c) it is critical to maintaining and improving international competitiveness. Although India has a long tradition of productivity research, translating the results into actionable policy instruments requires an explicit push.

Second, after 60 years, Solow returned to his own groundbreaking work on growth theory and asked: “Why have we assumed that there is perfect competition and that factors obtain their marginal products of perfect competition?” How can we see a persistent and significant divergence between productivity the non-agricultural sector and real wages? Despite some confusion about the measurement of the two, there is no doubt that they have diverged. But that goes against everything we thought we knew! and labor are determined, and the distribution of rents is determined partly by economic and largely by political factors. With monopoly power intensifying in the Indian economy, the impact of distribution on inequality becomes more important as it influences our demand and growth trajectories.

Third, Solow emphasized the need to study economic history. Studying this would help economists understand the social and institutional contexts in which economic models work or do not work. In his 1985 essay entitled “Economic History and Economics,” he put it elegantly: “I suspect that the attempt to construct economics as an axiomatically sound hard science is doomed to failure…” Unfortunately, that is Economics is a social science… Furthermore, any economic activity in the strict sense is embedded in a network of social institutions, customs, beliefs and attitudes. Concrete results are undoubtedly influenced by these background factors, some of which change slowly and gradually, others irregularly.” In the Indian context, a thorough understanding of economic history is required to understand different types of social arrangements, their interactions and the resulting economic behavior.

Fourth, Solow emphasizes that education is not the solution to every problem, but an educated population is still necessary for the progress of society. “We tend to measure education by input rather than output. We count how many years people have been going to school… [I]Instead of worrying so much about the quantity of education, we should think about the content.” His comments are of utmost importance for India to tap its demographic dividend and fulfill the aspirations of its youth. The content of education must be aligned with changing times, especially at a time when automation and the demand for highly skilled workers are increasing. The stock of human capital could be the most important growth driver for India as it contributes to the productivity of labor and capital and improves technology innovation. However, the prerequisite for this is ensuring fair and high-quality education for young people.

A fifth insight from Solow's life and research is the value of intellectual and professional engagement for students through active mentoring. In his own words: “You only have really good ideas every now and then. I would rather teach a really bright student than write a moderately interesting paper.” According to MIT News: “When it came to teaching students, Solow would tear up his old lecture notes every year and force himself to re-examine his presentation Study advisor Solow spent many hours giving students detailed feedback on their research. Solow's decades-long collaboration with Paul Samuelson is also an example of the importance of collaborating with colleagues to improve science and research. His commitment to students and teaching, as well as to open-minded discussions in a collegial atmosphere, were among the good examples from which Indian science must learn.

These are the author's personal views.