productivity catch-up. Evidence shows that countries with higher productivity growth rates export capital while countries with … lower productivity growth rates receive positive capital inflows. This is contradictory to the predictions of the …, our calibrated Schumpeterian growth model also predicts a positive correlation between capital inflows and productivity …

productivity and are heterogeneous in terms of assets and productivity. Comparing our economy with one with the same fundamentals … but with no uncertainty, we find that ambiguity (i) increases the productivity threshold to access the market, (ii) does …