Article history: Received 3 March 2014 Received in revised form 18 November 2014 Accepted 18 November 2014 Available online 26 November 2014 We consider a North–South duopolistic competition in the market of a perishable good. North's harvest can be sold over two periods whereas South's harvest can be sold in the first period only, because of the lack of storage technology.Weexamine the impact ...

This paper proposes a tractable model to study the equilibrium diversity of technological progress and shows that equilibrium technological progress may exhibit too little diversity (too much conformity), in particular, foregoing socially bene…cial investments in “alternative”technologies that will be used at some point in the future. The presence of future innovations that will replace current...

This paper studies the impact of the information and communication technologies (ICT) on U.S. economic growth using a dynamic general equilibrium approach. We use a production function with six di¤erent capital inputs, three of them corresponding to ICT assets and other three to non-ICT assets. We …nd that the technological change embedded in hardware equipment is the main leading nonneutral fo...

The use of simulation modelling techniques by neo-Schumpeterian economists dates back to Nelson and Winter’s 1982 book “An Evolutionary Theory of Economic Change”, and has rapidly expanded ever since. This paper considers the way in which successive generations of models have extended the boundaries of research (both with respect to the range of phenomena considered and the different dimensions...

Capital goods are embodied knowledge of how to produce. Therefore, capital development is a learning process, through which knowledge gets embodied in new capital goods. Because the necessary knowledge is dispersed among many people who must interact to communicate their particular, often tacit knowledge, capital development is a social process. Because this interaction takes time and continual...

One feature of the European patent system that is heavily criticized nowadays is related to its complex fragmentation and the induced cost burden for applicants. Once a patent is granted by the EPO, the assignee must validate (and often translate) it and pay the renewal fees to keep it in force in each country in which the applicant seeks protection. The objective of this paper is to assess to ...

When considering the linkage between innovation and productivity, the relationship is often termed as the knowledge production function in the endogenous growth literature. In this article, we approach the issues involved through the aspects of the standard neoclassical production theory. The advantage is that the basic properties required of ordinary production function can be employed to infe...

Most OECD countries experience high unemployment rates and declining growth in higher educational attainment. An often suggested government policy is therefore to allocate resources towards formal schooling for adults. However, returns on such investments are uncertain and the foregone earnings are potentially large. We use Swedish population register data from 1982 to 2011 to estimate average ...

In this paper we assess the role of capital-embodied technology shocks in explaining properties of the cross section of stock returns. Existing theories seem to disagree on the sign and magnitude of the price the market demands for bearing the risk of such shocks: while a negative price is necessary to justify the value premium or the cross-sectional predictability of returns by firm characteri...

In this study, we develop a monetary Schumpeterian growth model with endogenous market structure (EMS) to explore the e¤ects of monetary policy on the number of …rms, …rm size, economic growth and social welfare. EMS leads to richer implications and di¤erent results from previous studies in which market structure is exogenous. In the short run, a higher nominal interest rate leads to lower grow...