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Endogenous Growth with Technological Change: A Model Based on R&D Expenditure

  • Mª Jesús Freire-Serén

    (Universidade de Vigo)

The aim of this paper is to empirically analyze the role that aggregate R&D-expenditures play in economic growth. We introduce a technology of innovation based on R&D-expenditures instead of labor to see how this consideration generates sustainable growth determined endogenously, even if population growth does not exist. Therefore, it also seems relevant to analyze the effects of some fiscal policies. For the empirical analysis we make use of an econometric model obtained from the decentralized equilibrium. More precisely, the specification is obtained using the free-entry condition that the competitive equilibrium states for the R&D-activity and the policy function defining the dynamic evolution of patentees' price.

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File URL: http://otega.usc.es/docs_idega/documentos_de_traballo/analise_economica/analise_economica_13.pdf
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Paper provided by IDEGA - Instituto Universitario de Estudios e Desenvolvemento de Galicia in its series Documentos de trabajo - Analise Economica with number 0013.

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Length: 35 pages
Date of creation: 2000
Date of revision:
Handle: RePEc:edg:anecon:0013
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