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Engines of Growth in the U.S. Economy

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  • Raa, T. ten
  • Wolff, E.N.

    (Tilburg University, Center for Economic Research)

Abstract

There is good reason to believe that R&D influences on TFP growth in other sectors are indirect.For R&D to spill over, it must first be successful in the home sector.Indeed, observed spillovers conform better to TFP growth than to R&D in the upstream sectors.Sectoral TFP growth rates are thus interrelated.Solving the intersectoral TFP equation resolves overall TFP growth into sources of growth.The solution essentially eliminates the spillovers and amounts to a novel decomposition of TFP growth.The top 10 sectors are designated engines of growt led by computers and office machinery.The results are contrasted to the standard, Domar decomposition of TFP growth.

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Bibliographic Info

Paper provided by Tilburg University, Center for Economic Research in its series Discussion Paper with number 2000-77.

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Date of creation: 2000
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Handle: RePEc:dgr:kubcen:200077

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Keywords: Spillovers; input-output; sources of growth;

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References

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  22. Jacques Mairesse & Pierre Mohnen, 1990. "Recherche-Développement et productivité : un survol de la littérature économétrique," Économie et Statistique, Programme National Persée, vol. 237(1), pages 99-108.
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