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Technical Change as Exogenous or Endogenous Factor in the Production Function Models. Empirical Evidence from Romania


  • Zaman, Gheorghe

    () (Institute of National Economy, Corresponding Member of the Romanian Academy)

  • Goschin, Zizi

    () (Institute of National Economy)


As technical change is nowadays largely accepted to be an engine of economic growth, researchers have tried to include it explicitly in the economic growth models, either as an exogenous or endogenous factor of influence. Using the framework of the aggregate Cobb-Douglas production function in its classical form, as well as in several refined variants, we estimated the elasticities of production factors for Romania over the 1990-2007 period, finding that technical progress has had a small contribution to the economic growth.

Suggested Citation

  • Zaman, Gheorghe & Goschin, Zizi, 2010. "Technical Change as Exogenous or Endogenous Factor in the Production Function Models. Empirical Evidence from Romania," Journal for Economic Forecasting, Institute for Economic Forecasting, vol. 0(2), pages 29-45, July.
  • Handle: RePEc:rjr:romjef:v::y:2010:i:2:p:29-45

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    References listed on IDEAS

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    7. Brynjolfsson, Erik. & Hitt, Lorin M., 1994. "Information technology as a factor of production : the role of differences among firms," Working papers 3715-94. CCSTR ; #173., Massachusetts Institute of Technology (MIT), Sloan School of Management.
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    Cited by:

    1. Zizi goschin, 2014. "R&D As An Engine Of Regional Economic Growth In Romania," Romanian Journal of Regional Science, Romanian Regional Science Association, vol. 8(1), pages 24-37, JUNE.
    2. LSE Enterprise,, 2011. "Study on the impact of the single market on cohesion: implications for cohesion policy, growth and competitiveness," LSE Research Online Documents on Economics 42840, London School of Economics and Political Science, LSE Library.
    3. Pop Silaghi, Monica Ioana & Alexa, Diana & Jude, Cristina & Litan, Cristian, 2014. "Do business and public sector research and development expenditures contribute to economic growth in Central and Eastern European Countries? A dynamic panel estimation," Economic Modelling, Elsevier, vol. 36(C), pages 108-119.
    4. Zizi Goschin & Georgiana-Gloria Goschin, 2014. "R&D and Regional Regeneration. The Case of Alba Subregion in Romania," ERSA conference papers ersa14p584, European Regional Science Association.
    5. Zaman, Gheorghe & Georgescu, George, 2011. "Sovereign risk and debt sustainability: warning levels for Romania," MPRA Paper 32924, University Library of Munich, Germany.
    6. Zaman, Gheorghe & Georgescu, George & Goschin, Zizi & Antonescu, Daniela & Popa, Florina, 2015. "Dezvoltarea economica endogena la nivel regional. Cazul Romaniei
      [Endogenous economic development at regional level. The case of Romania]
      ," MPRA Paper 70646, University Library of Munich, Germany.

    More about this item


    technical change; R&D; exogenous and endogenous factors; growth models; Cobb-Douglas production function;

    JEL classification:

    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General


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