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While reducing industrial greenhouse gas (GHG) emissions is undoubtedly necessary to avoid an ecological disaster, political support for environmental regulation depends largely on its effectiveness and expected side-effects. A potential fallout often associated with environmental policies is a...
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theory characterizes how innovation and learning determine technology gaps, trade and global income inequality. Countries … with higher R&D efficiency are richer and have comparative advantage in more innovation-dependent industries where the … innovation-dependence by industry from R&D and bilateral trade data. Calibrating the model implies technology gaps, due to cross …
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We estimate productivities at the sector level for 72 countries and 5 decades, and examine how they evolve over time in both developed and developing countries. In both country groups, comparative advantage has become weaker: productivity grew systematically faster in sectors that were initially...
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