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The Effects Of The Transportation Costs In R&D Technology Sector On The Endogenous Grwoth

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  • Youngwan Goo

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    (Department of Economics, Chungbuk National University)

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    Abstract

    The paper centers on investigating theoretically how the transportation costs of R&D technology, none of the transportation costs in final goods and intermediate inputs, affect the long-run endogenous economic growth. The basic ideas adopted in this paper are different from well-known models in the sense that the prices of R&D technology are influenced by the transportation cost in R&D technology sector and the accumulated profit of the intermediate inputs over time is equal to the price of R&D technology, and thus the transportation costs indirectly influence the endogenous growth. That is, the larger are only the transportation costs of R&D technology, the higher is the price of R&D technology and the slower is endogenous economic growth.

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    File URL: http://www.jed.or.kr/full-text/36-1/2.pdf
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    Bibliographic Info

    Article provided by Chung-Ang Unviersity, Department of Economics in its journal Journal Of Economic Development.

    Volume (Year): 36 (2011)
    Issue (Month): 1 (March)
    Pages: 21-34

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    Handle: RePEc:jed:journl:v:36:y:2011:i:1:p:21-34

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    Related research

    Keywords: Transportation Costs; R&D Technology; Endogenous Growth;

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    1. Martin, Philippe & I.P. Ottaviano, Gianmarco, 1999. "Growing locations: Industry location in a model of endogenous growth," European Economic Review, Elsevier, vol. 43(2), pages 281-302, February.
    2. Yamamoto, Kazuhiro, 2003. "Agglomeration and growth with innovation in the intermediate goods sector," Regional Science and Urban Economics, Elsevier, vol. 33(3), pages 335-360, May.
    3. Abdel-Rahman, H. M., 1988. "Product differentiation, monopolistic competition and city size," Regional Science and Urban Economics, Elsevier, vol. 18(1), pages 69-86, February.
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