SSE/EFI Working Paper Series in Economics and Finance,
Stockholm School of Economics

Abstract: People go to school and firms do R&D. These activities result in human capital accumulation and new ideas and technologies which make economies grow. We try to capture the interaction between human capital and R&D by allowing for endogenous human capital accumulation in an economy where the number of products and technologies expands because profit maximizing entrepreneurs do R&D. We find that, in the absence of scale effects, long run growth is determined by the capacity to accumulate human capital. A relative lack of R&D capital causes the economy to grow slowly during its transition to the steady state, while a relative abundance of R&D capital gives high growth rates during transition.

Keywords: human capital; R&D; endogenous growth; scale effects; transitional dynamics

JEL-codes: J24; O31; O41

47 pages, May 28, 1998

Full text files

hastef0238.pdf.zip  Full text

hastef0238.pdf  Full text

hastef0238.ps.zip PostScript file Full text

hastef0238.ps PostScript file Full text

Download statistics

• Stockholm School of Economics
• Home page for this series

Questions (including download problems) about the papers in this series should be directed to Helena Lundin ()
Report other problems with accessing this service to Sune Karlsson ().

RePEc:hhs:hastef:0238This page generated on 2024-09-13 22:15:04.