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Shifting the Bias: How to Disentangle Creative Adoption from Radical Innovation. Empirical Evidence from Italy and the US

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Author Info
Antonelli Cristiano () (University of Turin)
Quatraro Francesco () (University of Turin)

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Abstract

The standard measures of total factor productivity growth assume the neutrality of technological change. When technological change is biased, the matching between tbc factor intensity and the relative factor prices has powerful effects on total factor productivity. This paper presents a novel methodology able to take into account the effects of biased technological change and provides empirical evidence for tbc Italian and tbc US economies in the period 1980-2000.

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File URL: http://www.de.unito.it/web/member/segreteria/WP/Momigliano/2007/6_WP_Momigliano.pdf
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Paper provided by University of Turin in its series Dipartimento di Economia "S. Cognetti de Martiis" LEI & BRICK - Laboratorio di economia dell'innovazione "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio Carlo Alberto. WP series with number 200706.

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Length: 15 pages
Date of creation: Mar 2007
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Handle: RePEc:uto:labeco:200706

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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.:
  1. Mokyr, Joel, 1990. "Punctuated Equilibria and Technological Progress," American Economic Review, American Economic Association, vol. 80(2), pages 350-54, May. [Downloadable!] (restricted)
  2. Bernard, Andrew B & Jones, Charles I, 1996. "Comparing Apples to Oranges: Productivity Convergence and Measurement across Industries and Countries," American Economic Review, American Economic Association, vol. 86(5), pages 1216-38, December. [Downloadable!] (restricted)
  3. Paul A. David, 2005. "THE TALE OF TWO TRAVERSES Innovation and Accumulation in the First Two Centuries of U.S. Economic Growth," Macroeconomics 0502019, EconWPA. [Downloadable!]
  4. Shunsuke Managi & David Karemera, 2004. "Input and output biased technological change in US agriculture," Applied Economics Letters, Taylor and Francis Journals, vol. 11(5), pages 283-286, April. [Downloadable!] (restricted)
  5. Francesco Quatraro, 2007. "Change vs. decline: A comparative analysis of the evolution of TFP in Italian regions, with a particular attention to the case of Turin," International Review of Economics, Springer, vol. 54(1), pages 86-105, March. [Downloadable!] (restricted)
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  1. Antonelli Cristiano & Quatraro Francesco, 2007. "Directed Technological change and total factor productivity. Effects and determinants in a sample of OECD Countries, 1971-2001," Dipartimento di Economia "S. Cognetti de Martiis" LEI & BRICK - Laboratorio di economia dell'innovazione "Franco Momigliano", Bureau of Research in Innovation, Complexity and Knowledge, Collegio Carlo 200711, University of Turin. [Downloadable!]
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