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Importing technology

  • Francesco Caselli
  • Daniel J. Wilson

We look at disaggregated imports of various types of equipment to make inferences on cross-country differences in the composition of equipment investment. We make three contributions. First, we document large differences in investment composition. Second, we explain these differences as being based on each equipment type's intrinsic efficiency, as well as on its degree of complementarity with other factors whose abundance differs across countries. Third, we examine the implications of investment composition for development accounting, i.e., explaining the cross-country variation in income per capita.

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Article provided by Federal Reserve Bank of San Francisco in its journal Proceedings.

Volume (Year): (2002)
Issue (Month): Nov ()

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Handle: RePEc:fip:fedfpr:y:2002:i:nov:x:7
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  25. Jonathan Eaton & Samuel Kortum, 2000. "Trade in Capital Goods," Boston University - Department of Economics - The Institute for Economic Development Working Papers Series dp-109, Boston University - Department of Economics.
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  28. Charles R. Hulten, 1992. "Growth Accounting When Technical Change is Embodied in Capital," NBER Working Papers 3971, National Bureau of Economic Research, Inc.
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