Skip to main content
Article thumbnail
Location of Repository

Accounting for research and productivity growth across industries

By L. Rachel Ngai and Roberto M. Samaniego

Abstract

What factors underlie industry differences in research intensity and productivity growth? We develop a multi-sector endogenous growth model allowing for industry-specific parameters in the production functions for output and knowledge, and in consumer preferences. We find that long run industry differences in both productivity growth and R&D intensity mainly reflect differences in “technological opportunities”, interpreted as the parameters of knowledge production. These include the capital intensity of R&D, knowledge spillovers, and diminishing returns to R&D. To investigate the quantitative importance of these factors, we calibrate the model using US industry data. We find that diminishing returns to research activity is the dominant factor

Topics: HB Economic Theory, HD Industries. Land use. Labor
Publisher: Elsevier
Year: 2011
DOI identifier: 10.1016/j.red.2009.12.002
OAI identifier: oai:eprints.lse.ac.uk:37127
Provided by: LSE Research Online
Download PDF:
Sorry, we are unable to provide the full text but you may find it at the following location(s):
  • http://www.elsevier.com/wps/fi... (external link)
  • http://eprints.lse.ac.uk/37127... (external link)
  • Suggested articles


    To submit an update or takedown request for this paper, please submit an Update/Correction/Removal Request.