This article explores the role of investment specific technology shocks for emerging market business cycle fluctuations. The analysis is motivated by two key empirical facts; the presence of investment specific technical change in the post-war US economy together with the importance of...

Business cycles are substantially correlated across countries. Yet most existing models are not able to generate substantial transmission through international trade. We show that the nature of such transmission depends fundamentally on the features determining the responsiveness of labor supply...

Business cycles are substantially correlated across countries. Yet, existing models are not able to generate substantial transmission through international trade. We show that the nature of such transmission depends fundamentally on the features determining the responsiveness of labor supply and...

Productivity growth has slowed across most OECD economies since the mid-2000s. While important aspects of New Zealand’s economic performance have improved over this period, productivity growth is still comparatively low. This continues a long-run trend of poor productivity in New Zealand,...

Similar to economic growth, the process of technology diffusion may well be approximated by easily distinguishable phases (stages). During the initial phase, the process of diffusion slows, whereas subsequently, under favourable circumstances, it accelerates and proceeds at an exponential growth...

Although much is known about labor market dynamics under technology shocks in advanced economies, this is not true for developing economies. This study bridges this gap in the literature by establishing new stylized facts in labor market dynamics. First, the response of hours worked (and...

Utilizing industry-level foreign direct investment (FDI) from 72 source markets to 122 destination markets between 2003 to 2018, we apply a differences-in-differences approach to evaluate the response of technology FDI to recessions. We find that research and development (R&D) intensive FDI...

The bulk of the global innovative effort takes place in 5 countries: USA, Japan and China as leaders, with France and United Kingdom as immediate followers, which all display, on the long run, a negative marginal value added on innovation. The present paper attempts to answer the following...

This work presents the evolutionary growth theory, which studies the drivers and patterns of technological change and production together with the (imperfect) mechanisms of coordination among a multitude of firms. This requires to studies economies as complex evolving systems, i.e. as ecologies...