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Market Structure and the Growth Process

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Author Info
Philippe Aghion (Department of Economics, University College London)
Peter Howitt (Department of Economics, Ohio State University)

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Abstract

Recent empirical work has pointed to a positive correlation between product market competition and productivity growth. In this lecture we try to reconcile this evidence with the Schumpterian growth paradigm. Three alternative explanations are successively considered, respectively based upon agency considerations, the tacit nature of knowledge, and the decomposition of R and D activities into research and development. (Copyright: Elsevier)

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File URL: http://dx.doi.org/10.1006/redy.1997.0007
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Publisher Info
Article provided by Elsevier for the Society for Economic Dynamics in its journal Review of Economic Dynamics.

Volume (Year): 1 (1998)
Issue (Month): 1 (January)
Pages: 276-305
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Handle: RePEc:red:issued:v:1:y:1998:i:1:p:276-305

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Find related papers by JEL classification:
O4 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
D4 - Microeconomics - - Market Structure and Pricing

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Ricardo J. Caballero & Adam B. Jaffe, 1993. "How High are the Giants' Shoulders: An Empirical Assessment of Knowledge Spillovers and Creative Destruction in a Model of Economic Growth," NBER Working Papers 4370, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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  2. Blundell, Richard & Griffith, Rachel & Van Reenen, John, 1995. "Dynamic Count Data Models of Technological Innovation," Economic Journal, Royal Economic Society, vol. 105(429), pages 333-44, March. [Downloadable!] (restricted)
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  3. Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October. [Downloadable!] (restricted)
  4. Nickell, Stephen J, 1996. "Competition and Corporate Performance," Journal of Political Economy, University of Chicago Press, vol. 104(4), pages 724-46, August. [Downloadable!] (restricted)
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  5. Segerstrom, Paul S & Anant, T C A & Dinopoulos, Elias, 1990. "A Schumpeterian Model of the Product Life Cycle," American Economic Review, American Economic Association, vol. 80(5), pages 1077-91, December. [Downloadable!] (restricted)
  6. Aghion, Philippe & Howitt, Peter, 1996. " Research and Development in the Growth Process," Journal of Economic Growth, Springer, vol. 1(1), pages 49-73, March.
  7. Aghion, Philippe & Howitt, Peter, 1992. "A Model of Growth through Creative Destruction," Econometrica, Econometric Society, vol. 60(2), pages 323-51, March. [Downloadable!] (restricted)
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  8. Aghion, Philippe & Dewatripont, Mathias & Rey, Patrick, 1999. "Competition, Financial Discipline and Growth," Review of Economic Studies, Blackwell Publishing, vol. 66(4), pages 825-52, October. [Downloadable!] (restricted)
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Jose E. Galdon Sanchez & James A. Schmitz, Jr., 1999. "Threats to industry survival and labor productivity: world iron-ore markets in the 1980's," Staff Report 263, Federal Reserve Bank of Minneapolis. [Downloadable!]
  2. Alberto Bucci, 2003. "R&D, imperfect competition and growth with human capital accumulation," Departemental Working Papers 2003-11, Department of Economics University of Milan Italy. [Downloadable!]
    Other versions:
  3. Alberto Bucci, 2003. "Horizontal Innovation, Market Power And Growth," International Economic Journal, Korean International Economic Association, vol. 17(1), pages 57-82, April. [Downloadable!] (restricted)
    Other versions:
  4. Patrucco Pier Paolo, 2002. "Institutional variety, networking and knowledge exchange: communication and innovation in the case of the Brianza technological district," Dipartimento di Economia "S. Cognetti de Martiis" LEI & BRICK - Laboratorio di economia dell'innovazione "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio Carlo 200205, University of Turin. [Downloadable!]
    Other versions:
  5. Bucci, Alberto & Fiorillo, Fabio & Staffolani, Stefano, 2001. "Can Market Power influence Employment, Wage Inequality and Growth ?," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2000030, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES). [Downloadable!]
    Other versions:
  6. Canton, E.J.F. & Groot, H.L.F. de & Nahuis, R., 1999. "Vested interest and resistance to technology adoption," Discussion Paper 106, Tilburg University, Center for Economic Research. [Downloadable!]
  7. Philip Kostov & John Lingard, 2004. "Block-diagonal representation of a dualistic agricultural economy and its application in formal modelling: the case of Bulgaria," Computational Economics 0409001, EconWPA. [Downloadable!]
  8. Alberto BUCCI, 2002. "Market Power, Human Capital and Growth," Discussion Papers (IRES - Institut de Recherches Economiques et Sociales) 2002012, Université catholique de Louvain, Institut de Recherches Economiques et Sociales (IRES). [Downloadable!]
  9. Alberto BUCCI, 2004. "An inverted-U relationship between product market competition and growth in an extended Romerian model," Departemental Working Papers 2004-26, Department of Economics University of Milan Italy. [Downloadable!]
  10. Alberto BUCCI, 2004. "Human capital, product market power and economic growth," Departemental Working Papers 2004-21, Department of Economics University of Milan Italy. [Downloadable!]
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