American Economic Review Vol. 88 No. 5 1998
Endogenous Growth without Scale Effects
Abstract
This paper presents a simple R&D-driven endogenous growth model to shed light on some puzzling economic trends. The model can account for why patent statistics have been roughly constant even though R&D employment has risen sharply over the last 30 years. The model also illuminates why steadily increasing R&D effort has not led to any upward trend in economic growth rates, as is predicted by earlier R&D-driven endogenous growth models with the "scale effect" property.
- Volume
- 88
- Issue
- 5
- Pages
- 1290-1310
- Sources
- bibtex:phds-export.bib