Acemoglu, Daron; Aghion, Philippe; Zilibotti, Fabrizio - 2015
approaches the technology frontier, selection becomes more important. As a result, countries at early stages of development … investments, but little selection. Closer to the world technology frontier, there is a switch to an innovation-based strategy with …. However, societies that cannot switch out of the investment based strategy fail to converge to the world technology frontier …