We propose an innovation-driven growth model in which education is determined by family background and cognitive …

-desirable scale effects property and assumptions regarding the intensity of knowledge diffusion. In that respect, we extend a standard … Schumpeterian growth model by introducing explicitly knowledge diffusion over a Salop (1979) circle: a continuum of sectors … simultaneously sending and receiving knowledge is located over the circle. The link between knowledge diffusion and scale effects …

This paper revisits the debate about the appropriate differential equation that governs the evolution of knowledge in … the evolution of knowledge is plausible if it satisfies two asymptotic conditions: Looking forwards, infinite knowledge in … finite time should be excluded, and looking backwards, knowledge should vanish towards the beginning of time (but not before …

We construct a tractable general equilibrium model of cumulative innovation and growth, in which new ideas strictly … knowledge spillovers implies that the decentralized equilibrium features an allocation of labor to R&D activity that is strictly … the rate of innovation, as well as a separate optimal required inventive step that maximizes welfare, with the former …