A model of technology adoption and growth

@article{Parente1995AMO,
  title={A model of technology adoption and growth},
  author={Stephen L. Parente},
  journal={Economic Theory},
  year={1995},
  volume={6},
  pages={405-420}
}
SummaryWe construct a model of economic growth in which firms adopt more advanced technologies. In order to advance its technology, a firm must make an investment. The size of this investment depends on the size of the technology adoption barriers in the firm's country Assuming a Markov chain for these barriers, we examine the amount of variation and persistence in the chain for which the model matches the observed output disparity across countries and the mobility of nations. Our calibration… 
View on Springer
23 Citations
Highly Influential Citations
4
Background Citations
8
Methods Citations
2
Results Citations
1

23 Citations

Citation Type

Citation Type

Barriers to Technology Adoption and Development
We propose a theory of economic development in which technology adoption and barriers to such adoptions are the focus. The size of these barriers differs across countries and time. The larger these…
Technology adoption and accumulation in a vintage-capital model
We present a model of capital accumulation and technology adoption in a vintage-capital framework. The model is an infinite-horizon/infinite-dimensional optimal control model: the firm employs a…
Costly Technology Adoption and Capital Accumulation
TLDR
There is a unique threshold level of wealth above which a household will adopt the new technology and below which it will not and this threshold is independent of preference parameters, and depends only on technological parameters.
Market frictions, technology adoption and economic growth
WORKI NG PAPER NO . 0 0-7 Costly Technology Adoption and Capital Accumulation
We develop a model of costly technology adoption where the cost is irrecoverable and fixed. Households must decide when to switch from an existing technology to a new, more productive technology.…
Market Frictions, Technology Adoption and Economic Growth Market Frictions, Technology Adoption and Economic Growth
This paper develops an endogenous growth model with labor market matching and technology adoption. While labor market search and entry frictions lengthen technology diffusion, exogenous technology…
International technology adoption, R&D, and productivity growth
Abstract International knowledge diffusion is considered an important source of productivity growth. However, direct observations on such diffusion have not been available at the macro level. We…
Endogenous Productivity and Development Accounting1
We model an environment with embodied technical change in which di¤erent vintages of capital with their di¤erent productivities coexist. A reduction in the cost of investment raises both the quantity…
Vested Interest and Resistance to Technology Adoption
Employed technologies differ vastly across countries. Within countries many technologies that would obviously improve firms’ efficiency are not adopted. This paper explains these observations by…
Entry and growth in a perfectly competitive vintage model
...
1
2
3
...

References

SHOWING 1-10 OF 19 REFERENCES
Barriers to Technology Adoption and Development
We propose a theory of economic development in which technology adoption and barriers to such adoptions are the focus. The size of these barriers differs across countries and time. The larger these…
Technology Adoption and Growth
Technology change is modeled as the result of decisions of individuals and groups of individuals to adopt more advanced technologies. The structure is calibrated to the U.S. and postwar Japan growth…
Long-Run Policy Analysis and Long-Run Growth
  • S. Rebelo
  • Economics
    Journal of Political Economy
  • 1991
The wide cross-country disparity in rates of economic growth is the most puzzling feature of the development process. This paper describes a class of models in which this heterogeneity in growth…
Externalities and Growth Accounting
We reexamine several bodies of data on the growth of output, labor, and capital, within the context of a model that admits the possibility of an externality to the capital input. The model is an…
Transitional Dynamics and Economic Growth in the Neoclassical Model
An understanding of the qualitative nature of the transitional dynamics of the neociassical model - the process of convergence from an initial capital stock to a steady state growth path - is a key…
Changes in the wealth of nations
This study systematically examines the distribution of the wealth of nations and how it has evolved over time. A nation's wealth is measured by its real per-capita gross domestic product. The study…
Understanding Japan's saving rate: the reconstruction hypothesis
This paper evaluates Hayashi's conjecture that Japan's postwar saving experience can be accounted for by the neoclassical model of economic growth as that country's efforts to reconstruct its capital…
Growth Theory: An Exposition
In the preface to the first edition of Growth Theory (copyright 1970), the author writes: "I have tried to give some feeling for the scope of aggregate theory of growth, a notion of technical…
A model of equilibrium with differentiated commodities
Optimal economic growth and uncertainty: The discounted case
...
1
2
...