and investment, we are able to capture many of the key empirical properties of Germany and Japan's postwar transitions …We consider a neoclassical interpretation of Germany and Japan's rapid postwar growth that relies on a catch …-up mechanism through capital accumulation where technology is embodied in new capital goods. Using a putty-clay model of production …

west Germany. Excessively high wages coupled with investment incentives that made the cost of capital negative rank high …A political miracle occurred when Germany was reunited, and at first glance an economic miracle has followed. Real … incomes in the east have now reached the western level, and investment per capita has been much higher than in the west …

mean-preserving spread in the productivity of investment raises aggregate investment, productivity, and output. Increases …We embed the microeconomic decisions associated with investment under uncertainty, capacity utilization, and machine … replacement in a general equilibrium model based on putty-clay technology. In the presence of irreversible factor proportions, a …

In this paper we emphasize the contribution of technical change, broadly defined, towards productivity growth in … explaining the relative East Germany-West Germany performance during the post-World War II era. We argue that previous work was … excessively focused on physical capital investments determining productivity differentials, which consequently led to an …

leaders. We find strong evidence of technological diffusion but not full convergence; differences in total factor productivity …

contribution of total factor productivity growth from the IT sector in Japan also increased, while the contributions of labor input …In this paper we compare sources of economic growth in Japan and the United States from 1975 through 2003, focusing on … the role of information technology (IT). We have adjusted Japanese data to conform to U.S. definitions in order to provide …

, and that a high rate of machinery investment is a necessary prerequisite for rapid long-run productivity growth - a …Over the past century the long-run growth of six economies shows a strong association between investment in machinery … hypothesis also supported by narratives from the history of technology …

We revisit Western Europe's record with labor-productivity convergence, and tentatively extrapolate its implications … higher rates of physical capital accumulation and greater total factor productivity gains. These (relatively) high rates of … efficiently. The other margin (within industry) reflects capital deepening and technology catch-up at the industry level. In …

In this paper, we examine the changes in per-capita income and productivity from 1700 to modern times, and show four …

1982-1995, despite major reforms, including liberalization of foreign trade and investment. Since then growth has been …, industrialization, and education and that Mexico would have grown even more rapidly if trade and investment had been liberalized sooner …