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R&D, innovation, and technological progress: a test of the Schumpeterian framework without scale effects
Author(s) -
Zachariadis Marios
Publication year - 2003
Publication title -
canadian journal of economics/revue canadienne d'économique
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.773
H-Index - 69
eISSN - 1540-5982
pISSN - 0008-4085
DOI - 10.1111/1540-5982.t01-2-00003
Subject(s) - economics , scale effects , technological change , scale (ratio) , endogenous growth theory , null hypothesis , returns to scale , neoclassical economics , econometrics , microeconomics , macroeconomics , human capital , physics , production (economics) , market economy , quantum mechanics
Abstract. I use U.S. manufacturing industry data to estimate a system of three equations implied by a model of R&D‐induced growth in steady state. These equations relate R&D intensity to patenting, patenting to technological progress, and technological progress to economic growth. In each case, I find evidence of positive impact. Thus, I reject the null hypothesis that growth is not induced by R&D in favour of the Schumpeterian endogenous growth framework without scale effects. I also find strong support for technological spillovers from aggregate research intensity to industry‐level innovation success. JEL Classification: O40, O30