| By: |
Weshah Razzak (School of Economics and Finance, Massey University, Palmerston North) |
| Abstract: |
Total factor productivity growth (TFP) is positively related to the growth
rate in effective research efforts. At the macro level, research effort is the
nonlinear product of human capital and the number of people engaged in
research activity. The rate of return on human capital is positive across the
G7 countries. However, the rate of return on the number of researcher is
negative in all countries except the U.S. thus; there is a decreasing return
to scale in the production of new ideas. |
| Keywords: |
TFP Growth, Research Efforts, Education, Human Capital, Useful Knowledge |
| JEL: |
O40 O47 |
| Date: |
2020 |
| URL: |
https://d.repec.org/n?u=RePEc:mas:dpaper:2002 |