We combine the neoclassical growth model and the 'AK' and 'R&D' type endogenous growth models to accommodate a number of stylized facts associated with economic growth. Different aspects of each of these models were important. The R&D model is necessary to explain innovation by profit maximizing individuals who have some market power and earn monopoly rents. The AK model and the neoclassical model are necessary to explain observations relating to capital accumulation. Harrod-neutral technical change is necessary to allow for the use of capital in the R&D sector, while constant returns to accumulable factors for the final goods sector is necessary for consistency.
Download Info
To our knowledge, this item is not available for
download. To find whether it is available, there are three
options:
1. Check below under "Related research" whether another version of this item is available online.
2. Check on the provider's web page
whether it is in fact available.
3. Perform a search for a similarly titled item that would be
available.
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.)