transfers over this period is taken into account. We show that the increase in capital's share of total income and the presence … of capital-entrepreneurial skill complementarity are two key features that help support the wages of ordinary workers as …

We introduce permanently-shifting income shares into a standard growth model with two types of agents. Capital owners … replicate the observed U.S. time paths of the top quintile income share, capital’s share of income, and key macroeconomic … variables over the period 1970 to 2013. For the baseline simulation, the welfare gain for capital owners is 3.7% of per …

elasticity of substitution between capital and labor. This is inconsistent with the Uzawa Growth Theorem. We extend Uzawa …'s theorem to show that introducing human capital accumulation in the standard way does not resolve the puzzle. However, balanced … growth is possible if education is endogenous and capital is more complementary with schooling than with raw labor. We …

acquiring human capital. Both sectors exhibit productivity externalities in the size of the skill-specific labor and in the … average human capital of workers. When skill-biased technological change prevails, it may well be the case that intermediate …

exhibits constant returns to scale in capital and labor. This insight provides an understanding for why technical change is … labor-augmenting in steady state even if capital-augmenting technical change is feasible. By example, this point is made for … three recent growth models that allow for endogenous capital- and labor-augmenting technical change, namely, Irmen (2013 …

innovation investments that increase the productivity of capital and labor in the performance of their respective tasks. These … capital-and labor-augmenting technical change. We develop a novel micro-foundation for the competitive production sector that … rests on the idea that the fabrication of output requires tasks to be performed by capital and labor. Firms may engage in …

In a neoclassical economy with endogenous capital- and labor-augmenting technical change the steady-state growth rate … of output per worker is shown to increase in the elasticity of substitution between capital and labor. This confirms the …

into their direct (endowment accumulation, productivity growth, changes in trade costs, changing preferences) and indirect … productivity growth, and endogenous changes in expenditures shares on manufacturing goods and services. We quantify the importance … accumulation and trade costs have been the most important drivers of trade in the sample at hand, whereas productivity growth and …

is found that patents ought to be weaker, the more intense competition, the higher R&D productivity, and the more …