Thursday, 4 April, 2024 | 14:00 | Room 6 | Macro Research Seminar

Paul Klein (Stockholm University) "Innovation-driven growth in a multi-country world"

Prof. Paul Klein

Stockholm University, Sweden

Authors: Paul Klein, Till Gross

Abstract: We develop a multi-country model of endogenous growth through innovation. The key feature of the model is that some ideas are globally applicable, while others are of local use only. Each country consists of a number of locations. There are innovation spillovers across locations and therefore across country borders. We argue that this model is both inherently plausible and consistent with an important set of growth facts. For instance, by computing a transition, we show that the model is capable of replicating a protracted decline in measured research productivity in the rich part of the world.

JEL Classification: E20, F43, O30, O40
Keywords: Innovation, endogenous growth, technological change, open economy, international spillovers.

Full Text: Innovation-driven growth in a multi-country world