We develop a model to rationalize and examine so-called "research bubbles", i.e. research activities based on … overoptimistic beliefs about the impact of this research on the economy. Research bubbles occur when researchers selfselect into … research activities and the government aggregates the assessment of active researchers on the way advances in research may spur …

-variety growth model through horizontal innovations with a hierarchy of basic and applied research. The former extends the knowledge … base, while the latter commercializes it. Two-way spillovers reinforce the productivity of research in each sector. We … for intermediate goods grow with the same rate. Basic research is a necessary and sufficient condition for economic growth …

-variety growth model through horizontal innovations with a hierarchy of basic and applied research. The former extends the knowledge … base, while the latter commercializes it. Two-way spillovers reinforce the productivity of research in each sector. We … for intermediate goods grow with the same rate. Basic research is a necessary and sufficient condition for economic growth …