The neoclassical growth model assumes fixed labor supply and competitive labor markets. Is it harmless to ignore … monopsonistic power in the neoclassical growth model? The paper argues that it is not, especially if a growth model needs to be … consistent with the long-run dynamics of the labor share. This paper solves a minimalist growth model with monopsonistic power at …

The benefits from the New Economy should accrue as improvements in productivity and economic growth. But while the use … ICT investment and economic growth in the period 1985-99 for a sample of 42 countries for which ICT spending data are …

There is good reason to believe that R&D influences on TFP growth in other sectors are indirect. For R&D to spill over …, it must first be successful in the home sector. Indeed, observed spillovers conform better to TFP growth than to R&D in … the upstream sectors. Sectoral TFP growth rates are thus interrelated. Solving the intersectoral TFP equation resolves …

the net effect of these forces. To do so, we build an endogenous growth model with heterogeneous firms and acquisitions … would increase growth by 0.03 percentage points per year, and raise welfare by 1.8%. …

volatility and growth. We first develop a simple growth model where firms engage in two types of investment: a short-term one and … amplifying volatility. Tighter credit therefore leads to both higher aggregate volatility and lower mean growth for a given total … financial development predicts a higher sensitivity of both the composition of investment and mean growth to exogenous shocks …

Variation in factor shares, extensively documented in recent years, implies that standard growth accounting exercises … the contribution of factors to economic growth. Second, the effect that changes in factor shares have on output depends on …. We perform a growth accounting exercise that incorporates factor share variation and solves the measurement issue …

based on estimates of total factor productivity. The second one decomposes productivity growth into two sources: investment …

a relatively robust growth of high-skill-specific productivity. Their GDP growth failed to reflect that because they …

Growth of the Korean economy has been sluggish, and this situation is more pronounced in the service sector. We argue …-sector misallocations at the sectoral level are closely correlated with the lower growth rate of sectoral real value added. Again, this is …