Neoclassical economists argue that competition promotes efficiency.They consider technology as given though.In the long run technological progress is an important determinant of the level of welfare and Schumpeter argued that monopoly rents help entrepreneurs to capture the gains of R&D and...

In this paper we develop a two-sector endogenous growth model with a dual labour market, based on efficiency wages. Growth is driven by intentional R&D performed in the high-tech and high-wage sector. It is examined how a change in rivalry among firms affects simultaneously growth and...

It is nowadays widely believed that public schooling may contribute favourably to long-term economic growth. The income tax rates that are needed to finance government spending typically show an erratic time pattern. Such tax randomness could increase the intensity of the business cycle. Thus,...

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...

This paper considers the effects of humanitarian aid on economic welfare through a demographic transition channel. We develop a two-period overlapping generations model where reproductive agents face a non-zero probability of death in childhood. As adults, agents allocate their time to work,...

We analyze the impact of increasing longevity on technological progress within an R&D-based endogenous growth framework and test the model´s implications on OECD data from 1960 to 2011. The central hypothesis derived in the theoretical part is that - by raising the incentives of households to...

The aim of this paper is to provide an overview of empirical cross-country growth literature. The paper begins with describing the basic framework used in recent empirical crosscountry growth research. Even though this literature was mainly inspired by endogenous growth theories, the...

This paper addresses the criticism that balanced growth models are inconsistent with the dynamics of structural change typical for the process of economic growth. Using a sectoral disaggregated version of a researchdriven growth model, we develop the concept of a generalized balanced growth path...

The book studies growth paths in an overlapping generations model with land and exhaustible resources as factors of production. It is shown that land rules out inefficient growth paths.