Economic integration in the quality ladder model
DOI:
https://doi.org/10.1590/S0101-41612008000400006Keywords:
endogenous growth, international economic integration, innovationAbstract
Here we perform the same kind of "integration experiments" as in Rivera-Batiz and Romer (1991), this time in the context of a "quality ladder model", where international trade integration is not enough to prevent redundancy of R&D efforts. Thus a further kind of integration is analysed: "financial market integration". We adopt as a setup the Simple Schumpeterian Model in Aghion and Howitt (2005), whose innovation technology differs sharply from the ones conceived by Rivera-Batiz and Romer in that it displays decreasing returns to scale.Downloads
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Copyright (c) 2008 Eduardo Correia de Souza
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