University of Surrey

Test tubes in the lab Research in the ATI Dance Research

Products, patents and productivity persistence: A DSGE model of endogenous growth

Holden, T (2011) Products, patents and productivity persistence: A DSGE model of endogenous growth . (Unpublished)

[img] PDF
dynarewp004[1].pdf
Restricted to Repository staff only
Available under License : See the attached licence file.

Download (1MB)
[img] PDF (licence)
SRI_deposit_agreement.pdf
Restricted to Repository staff only

Download (33kB)

Abstract

This paper builds a dynamic stochastic general equilibrium (DSGE) model of endogenous growth that is capable of generating substantial degrees of endogenous persistence in productivity. When products go out of patent protection, the rush of entry into their production destroys incentives for process improvements. Consequently, old production processes are enshrined in industries producing non-protected products, resulting in aggregate productivity persistence. Our model also generates sizeable delayed movements in productivity in response to preference shocks, providing a form of endogenous news shock. Finally, if we calibrate our model to match a high aggregate mark-up then we can replicate the negative response of hours to a positive technology shock, even without the inclusion of any frictions.

Item Type: Other
Authors :
AuthorsEmailORCID
Holden, TUNSPECIFIEDUNSPECIFIED
Date : 1 May 2011
Uncontrolled Keywords : productivity persistence, patent protection, oligopoly, research and development
Related URLs :
Depositing User : Symplectic Elements
Date Deposited : 28 Mar 2017 14:41
Last Modified : 28 Mar 2017 14:41
URI: http://epubs.surrey.ac.uk/id/eprint/427918

Actions (login required)

View Item View Item

Downloads

Downloads per month over past year


Information about this web site

© The University of Surrey, Guildford, Surrey, GU2 7XH, United Kingdom.
+44 (0)1483 300800