This paper deals with the effects of publicly funded research on regional technological progress and economic growth. We adopt a system approach and investigate the effects on all regional input factors and output by means of a flexible spatial panel VAR (SpPVAR) model. This allows us to deal...

We propose a new methodology to estimate empirically the input price-induced technical change and total factor productivity (TFP) growth in China. Our primary goal is to test Hicks' induced innovation hypothesis by examining whether technical change in China has been induced by sharp increase in...

This paper builds an unobserved components model that combines a multivariate filter approach with a Cobb-Douglas production function. This combination allows potential output estimates to incorporate more economic structure than the traditional production function approach, while retaining the...