Human Capital Accumulation in R&D-based Growth Models

This paper considers a multi-sectoral endogenous growth model, that reproduces the essental aspects of an ‘ICT-based economy’, in which a central role is played by human capital accumulation. Indeed, households also invest in human capital through schooling, and this turns out to be the thrue engine of growth. Furthermore, this model displays no scale effect and the stimulations allow to get interesting results concerning the link between market power and growth, the presence of ‘imbalance effects’ and the consequences of different types of subsidiesInformation technology; endogenous growth; imbalance effect

Information Technologies, Economic Growth and Productivity Shocks

This paper develops a multi-sectoral endogenous growth model in order to reproduce some of the essential characteristics of the so-called ÒICT RevolutionÓ. The economy consists of four sectors and the most important features are the embodied nature of technological progress, the horizontal differentiation and the Òlab-equipmentÓ specification of R&D. After the description of the different sectors, the equilibrium conditions are obtained, the balanced growth path is characterized analytically and the corresponding steady state system is derived. From this system some analytical results can be obtained, in particular it turns out that shocks on the productivity of the different sectors have permanent effects on long-term growth (contrary to the version of the model without the Òlab-equipmentÓ assumption, where only a shock on the productivity of the R&D sector influences long-term growth). These results are confirmed, in the last part of the paper, by the numerical simulation of the model, that allows also to analyse the short-run response of the system to the different shocks that can hit the economy and to study the robustness of the model.Information Technology, Endogenous Growth

Essays on Technological Progress, Organizational Changes and Growth.

A very important phenomenon observed in the last decades is the development of the so-called "New Economy", characterized by the diffusion of Information and Communication Technologies (ICT). During this episode, very favourable economic conditions have characterized the US economy: high growth rates of output, strong growth in labour, low level of unemployment. As a consequence, a strong attention has been devoted to the study of what has been called the "ICT Revolution", both from an empirical and from a theoretical point of view. This thesis proposes some theoretical models that are able to describe the most important characteristics of the new economy, explaining the associated growth performance. In particular, Chapter 1 develops a model that is able to reproduce some features of the ICT revolution that emerge from the data, underlining the importance of embodiment and the long-run implications of embodied technological change, and focusing on the role of R&D and of innovation in the growth process of the new economy. In Chapter 2 the model is extended considering also the presence of human capital, in line with the recent theoretical and empirical advancements in the endogenous growth literature according to which not only R&D activity, but also human capital accumulation, is a primary determinant of economic growth. Indeed, in the new economy human capital can be of great importance, since education is crucial in acquiring the knowledge necessary to use the new technologies, and at the same time an increase in ICT makes it easier to accumulate human capital, that in this model is the true engine of growth. In Chapter 3, finally, the issue considered is represented by the role of another form of capital, organizational capital, that has recently been advocated to explain the productivity slowdown and that can be linked with the analysis of the ICT boom. The model proposed allows to deal with the phenomenon, observed in the last decades with the diffusion of Information and Communication Technologies, represented by the adoption by many firms of new organizational practices, characterized by a tendency towards multi-tasking. Other aspects recently observed, and that the model is able to reproduce, are the increase in the share of skilled workers and in the proportion of workers employed in managerial occupations. The dissertation therefore elaborates some models that underline the fundamental role of a number of factors (innovation, human capital and organization) that are at the origin of the growth performance of the recent ICT-based economy.(ECON 3) -- UCL, 200

Technological Progress, Organizational Change and the Size of the Human Resources Departement

Innovative workplace practices based on multi-tasking and ICT that have been diffusing in most OECD countries since the 1990s have strong consequences on working conditions. Available data show together with the emergence of new organizational forms like multi-tasking, the increase in the proportion of workers employed in managerial occupation and the increase in skill requirements. This paper proposes a theoretical model to analyze the coordination costs between workers and between tasks. Firms can reduce coordination costs by assigning more workers to human resources management. Human capital is endogenously accumulated by workers. The model reproduces pretty well the regularities observed in the data. In particular, exogenous technological accelerations tend to increase both the number of tasks performerd and the skill requirements, and to raise the fraction of workers devoted to management.Information Technology, Organizational Change, Human Capital, Multi-Tasking