On the gravitation and convergence of industry incremental rates of return in OECD countries
AbstractThe hypotheses of sectoral incremental rates of returns gravitating around or converging towards a common value are tested on data for various OECD countries relying on an econometric method able to account for residual autocorrelation and cross-sector correlation. Our null hypotheses receive only a mixed empirical support. This is interpreted as the result of limitations to capital mobility and of persistent differentials in the innovative performance of industries.
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Bibliographic InfoPaper provided by University of Verona, Department of Economics in its series Working Papers with number 03/2010.
Date of creation: Jan 2010
Date of revision:
capital mobility; gravitation; convergence; incremental rates of returns; SURE estimation; exactly median unbiased estimator;
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This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-08-06 (All new papers)
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