Format:
Online-Ressource (52 p)
Edition:
Online-Ausg.
ISBN:
1451872666
,
9781451872668
Series Statement:
IMF Working Papers Working Paper No. 09/119
Content:
This paper develops a multi-industry growth model in which firms require external funds to conduct productivity-enhancing R&D. The cost of research is industry-specific. The tightness of financing constraints depends on the level of financial development and on industry characteristics. Over time, a financially constrained economy may converge to the growth path of a frictionless economy, so long as an industry with the fastest expanding technological frontier does not permanently fall behind due to low R&D. The model’s industry dynamics map into a differences-in-differences regression, in which industry growth depends on the interaction between financial development and industry level R&D intensity
Additional Edition:
Erscheint auch als Druck-Ausgabe Ilyina, Anna A Multi-industry Model of Growth with Financing Constraints Washington, D.C. : International Monetary Fund, 2009 ISBN 9781451872668
Language:
English
DOI:
10.5089/9781451872668.001
