Bayoumi, Tamim and Coe, David T. and Laxton, Douglas (1998): Liberating Supply: Fiscal Policy and Technological Innovation in a Multicountry Model.
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This paper examines how endogenizing technological progress in a multicountry macroeconometric model affects the analysis of fiscal policies. It uses an expanded version of the IMF's multicountry model, MULTIMOD, in which total factor productivity (TFP) is endogenized as a function of domestic research and development (R&D) expenditures, R&D expenditures of trading partners, and trade. Compared with the standard version of the model with exogenous TFP, fiscal policies have much larger and long-lived effects on the domestic economy and on other countries.
|Item Type:||MPRA Paper|
|Original Title:||Liberating Supply: Fiscal Policy and Technological Innovation in a Multicountry Model|
|Keywords:||Technological progress; research and development; econometric models|
|Subjects:||O - Economic Development, Technological Change, and Growth > O3 - Technological Change; Research and Development; Intellectual Property Rights > O30 - General
O - Economic Development, Technological Change, and Growth > O3 - Technological Change; Research and Development; Intellectual Property Rights > O33 - Technological Change: Choices and Consequences; Diffusion Processes
O - Economic Development, Technological Change, and Growth > O4 - Economic Growth and Aggregate Productivity > O40 - General
|Depositing User:||David/T Coe|
|Date Deposited:||07. May 2008 14:44|
|Last Modified:||15. Feb 2013 05:34|
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