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Research Subsidies, Population Control Policies, and Growth

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Author Info
Constantine Alexandrakis

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Abstract

Several R&D-based growth models without scale effects claim that subsidies to R&D are not conductive for economic growth while a faster growing population is. Yet, in an effort to maintain high growth rates, most OECD countries continue to subsidize R&D, while several developing countries are trying to control the size of their population. Are these countries misguided? This study introduces an R&D-based growth model that is characterized by complementarities between technology and human capital. The model is free of scale effects and consistent with the above-mentioned policies. By applying the model to US data the study uncovers a possible explanation for the productivity slowdown. Copyright © 2007 The Author; Journal compilation © 2007 Blackwell Publishing Ltd.

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File URL: http://www.blackwell-synergy.com/doi/abs/10.1111/j.1467-9361.2007.00372.x
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Publisher Info
Article provided by Blackwell Publishing in its journal Review of Development Economics.

Volume (Year): 12 (2008)
Issue (Month): 1 (02)
Pages: 106-123
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Handle: RePEc:bla:rdevec:v:12:y:2008:i:1:p:106-123

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Web page: http://www.blackwellpublishing.com/journal.asp?ref=1363-6669

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This page was last updated on 2009-11-22.

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