The purpose of this paper is to examine how the Solow residual relates to innovation at the firm level. We estimate two kinds of relationships. The first relationship explains innovation output from innovation inputs. The second relationship relates TFP growth to innovation output.
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Paper provided by Paris I - Economie Mathematique et Applications in its series Papers with number
2000.105.
Find related papers by JEL classification: C34 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Truncated and Censored Models D24 - Microeconomics - - Production and Organizations - - - Production; Capital and Total Factor Productivity; Capacity O31 - Economic Development, Technological Change, and Growth - - Technological Change - - - Innovation and Invention: Processes and Incentives O33 - Economic Development, Technological Change, and Growth - - Technological Change - - - Technological Change: Choices and Consequences; Diffusion Processes O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
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