The Dynamics of a General Purpose Technology in a Research and Assimilation Model

Nahuis (deceased), Richard

Abstract

The Dynamics of a General Purpose Technology in a Research and Assimilation Model

Richard Nahuis (deceased)

CPB Netherlands Bureau of Economic Policy Analysis (Deceased)

1998

Tilburg University, CentER Working Paper No. 1998-119

Abstract:
Where is the productivity growth from the IT revolution? Why did the skill premium rise sharply in the early eighties? Were these phenomena related? This paper examines these questions in a general equilibrium model of growth. Technological progress in firms is driven by research aimed at improving the production technology and by assimilation of ideas or principles present outside the firm. A new general purpose technology like the IT revolution generates an initial slowdown in economic growth and an increase in inequality.

JEL Classification: O31, O33, O41, J31, F43

working papers series

Date posted: September 13, 1999

Suggested Citation

Nahuis (deceased), Richard, The Dynamics of a General Purpose Technology in a Research and Assimilation Model (1998). Tilburg University, CentER Working Paper No. 1998-119. Available at SSRN: http://ssrn.com/abstract=165658

Contact Information

Richard Nahuis (deceased) (Contact Author)

CPB Netherlands Bureau of Economic Policy Analysis (Deceased)

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