An Aggregate Model of Technical Change
A simple aggregate growth model is presented in which technology is described by a probability distribution from which new plants are drawn. Especially good draws are viewed as technological innovations that shift the mean of the following period's plant distribution function. The resulting technical change is endogenous, random, and cumulative. In contrast to conventional growth models, the model's growth path displays nonstationary drift rather than deterministic trend, and the long-run per capita growth rate has positive rather than zero sensitivity to the model's saving parameter. Copyright 1989, the President and Fellows of Harvard College and the Massachusetts Institute of Technology.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 104 (1989)
Issue (Month): 4 (November)
|Contact details of provider:|| Web page: http://mitpress.mit.edu/journals/|
|Order Information:||Web: http://mitpress.mit.edu/journal-home.tcl?issn=00335533|
When requesting a correction, please mention this item's handle: RePEc:tpr:qjecon:v:104:y:1989:i:4:p:787-821. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Anna Pollock-Nelson)
If references are entirely missing, you can add them using this form.