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Ideas driven growth: the OECD evidence

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  • Argentino Pessoa

    (Faculdade de Economia da Universidade do Porto)

Abstract

This paper estimates the parameters of the ideas production function crucial to recent ideas-driven growth models. Using U. S. patents granted to residents in OECD countries in order to construct the stock of commercially used ideas, we provide evidence for two main findings. First, at the level of the production of ideas, we find evidence of increasing returns to scale in the stock of ideas and number of researchers, but marginal decreasing returns in each one of these factors. Second, we provide evidence of the association between ideas growth and economic growth, for the OECD as a whole, in the long run.

Suggested Citation

  • Argentino Pessoa, 2003. "Ideas driven growth: the OECD evidence," FEP Working Papers 136, Universidade do Porto, Faculdade de Economia do Porto.
    • Handle: RePEc:por:fepwps:136
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    References listed on IDEAS

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    Keywords

    Innovation; spillovers; ideas-driven growth; patents; public intervention;
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