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The economics of technological congruence

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  • Antonelli Cristiano

    ()
    (University of Turin)

Abstract

Technological congruence is defined by the matching between the relative size of outputs’ elasticity with the relative abundance and cost of inputs in local factor markets. With given total costs, output is larger the larger is the output elasticity of the cheapest input. Technological congruence is a powerful tool that helps grasping many controversial aspects of growth accounting, international division of labor and specialization, technological and structural change. For years, it had received little attention because of the wide consensus that technological change was exogenous and neutral. But also subsequently, notwithstanding the developments made in the endogenous growth modeling, little attempt was made to provide a more advanced understanding of technological congruence. Its appreciation stems directly from the advances of the economics of innovation an d its recent developments in understanding the endogenous determinants of the in troduction and diffusion of directed technological changes. The levels of technological congruence are most relevant to influence the actual efficiency and to shape the competitive advance of firms and countries

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Bibliographic Info

Paper provided by University of Turin in its series Department of Economics and Statistics Cognetti de Martiis. Working Papers with number 201306.

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Length: 13 pages
Date of creation: Feb 2013
Date of revision:
Handle: RePEc:uto:dipeco:201306

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  1. Antonelli, Cristiano & Quatraro, Francesco, 2008. "The Effects of Biased Technological Change on Total Factor Productivity. Empirical Evidence from a Sample of OECD Countries," Department of Economics and Statistics Cognetti de Martiis LEI & BRICK - Laboratory of Economics of Innovation "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio 200806, University of Turin.
  2. Caselli, Francesco & Feyrer, James, 2005. "The Marginal Product of Capital," CEPR Discussion Papers 5203, C.E.P.R. Discussion Papers.
  3. Alan Krueger, 1999. "Measuring Labor's Share," NBER Working Papers 7006, National Bureau of Economic Research, Inc.
  4. Zuleta, Hernando, 2012. "Variable factor shares, measurement and growth accounting," Economics Letters, Elsevier, vol. 114(1), pages 91-93.
  5. Pierre Mohnen & Lars-Hendrick Röller, 2001. "Complementarities in Innovation Policy," CIRANO Working Papers 2001s-28, CIRANO.
  6. Franco Malerba, 2005. "Sectoral systems of innovation: a framework for linking innovation to the knowledge base, structure and dynamics of sectors," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 14(1-2), pages 63-82.
  7. Diego Comin & Bart Hobijn, 2003. "Cross-country technology adoption: making the theories face the facts," Staff Reports 169, Federal Reserve Bank of New York.
  8. Agnieszka Gehringer, 2011. "Pecuniary knowledge externalities and innovation: intersectoral linkages and their effects beyond technological spillovers," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 20(5), pages 495-515.
  9. Acemoglu, Daron, 2002. "Directed Technical Change," Review of Economic Studies, Wiley Blackwell, vol. 69(4), pages 781-809, October.
  10. Antonelli, Cristiano, 2006. "Localized technological change and factor markets: constraints and inducements to innovation," Structural Change and Economic Dynamics, Elsevier, vol. 17(2), pages 224-247, June.
  11. Maryann Feldman, 1999. "The New Economics Of Innovation, Spillovers And Agglomeration: Areview Of Empirical Studies," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 8(1-2), pages 5-25.
  12. Jerzmanowski, Michal, 2007. "Total factor productivity differences: Appropriate technology vs. efficiency," European Economic Review, Elsevier, vol. 51(8), pages 2080-2110, November.
  13. Robert E. Hall & Charles I. Jones, 1999. "Why Do Some Countries Produce So Much More Output per Worker than Others?," NBER Working Papers 6564, National Bureau of Economic Research, Inc.
  14. Daron Acemoglu, 2003. "Labor- And Capital-Augmenting Technical Change," Journal of the European Economic Association, MIT Press, vol. 1(1), pages 1-37, 03.
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