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Dynamcis of technological change and schemes of diffusion

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  • Petit Pascal
  • Tahar Gabriel

Abstract

This paper attempts to analyze a technical change at the industry level by rendering explicit the investment behavior of the firms. The authors develop a model based on the assumption that production technology can be either modern or traditional. The probability that a firm modernizes is assumed to be a function of market conditions and of performances of equipments. This behavior, combined with the general movement of investments driven by market prospects, sets the pace and shape of diffusion. Using a simple indicator of modernization, the model is estimated for five OECD countries between 1974 and 1982. Copyright 1989 by Blackwell Publishers Ltd and The Victoria University of Manchester
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  • Petit Pascal & Tahar Gabriel, 1987. "Dynamcis of technological change and schemes of diffusion," CEPREMAP Working Papers (Couverture Orange) 8713, CEPREMAP.
  • Handle: RePEc:cpm:cepmap:8713
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