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Social Absorption Capability and Innovation

In: Social Capability and Long-Term Economic Growth

Author

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  • Joseph E. Stiglitz

Abstract

It is now widely recognized that the differences in standards of living and in rates of growth that different economies have experienced have to do with factors other than just differences in factor supplies, in particular human and physical capital. Were differences among countries accounted for by different factor inputs along the same production function, we would expect to see far higher returns to the scare factors, human and physical capital. And we would not expect to see the migration of skilled individuals from poor countries, such as India.2

Suggested Citation

  • Joseph E. Stiglitz, 1995. "Social Absorption Capability and Innovation," Palgrave Macmillan Books, in: Bon Ho Koo & Dwight H. Perkins (ed.), Social Capability and Long-Term Economic Growth, chapter 4, pages 48-81, Palgrave Macmillan.
  • Handle: RePEc:pal:palchp:978-1-349-13512-7_4
    DOI: 10.1007/978-1-349-13512-7_4
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    Cited by:

    1. Richard M. Auty, 2006. "Patterns of Rent-Extraction and Deployment in Developing Countries: Implications for Governance, Economic Policy and Performance," WIDER Working Paper Series RP2006-16, World Institute for Development Economic Research (UNU-WIDER).
    2. Na-Allah, Abdelrasaq & Muchie, Mammo, 2012. "Social absorption capability, systems of innovation and manufactured export response to preferential trade incentives," Research Policy, Elsevier, vol. 41(1), pages 93-101.

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