Production Externalities, Tobin's Q and Endogenous Growth
We investigate the implications of constant aggregate returns in production being generated by the combination of private capital and an external factor, as emphasised by the endogenous growth literature. We show that average Q deviates from marginal Q in proportion to the discrepancy between private and social returns in production.
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|Date of creation:||2001|
|Date of revision:|
|Contact details of provider:|| Postal: Universite de Nantes, Centre d'Etudes sur l'Economie Internationale et l'Entreprise. 110, Bd. Michelet 44071 Nantes CEDEX 03 France.|
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