Biased Technical Change and Economic Conservation Laws

Productivity of inputs is an important determinant of the competitiveness of firms in national and international markets. Productivity growth arises from deliberate decisions to innovate but the technological opportunities could be such that different inputs would have different rates of growth. Previous literature has mostly concentrated on labor productivity but empirical studies indicate that productivity of capital is also increasing. One of the objectives of this book is to examine the difference or bias in the productivity growth of the two inputs.

In this book, application of this general approach to study of biased technical change is developed and new empirical results presented for both macroeconomies and microeconomic firms.

Concentrate on the labor productivity of firms Examines the difference or bias in the productivity growth of two inputs; labor productivity and productivity of capital Includes supplementary material: sn.pub/extras

Autorentext

Ryuzo Sato is the C.V. Starr Professor of Economics and the director of the Center for Japan-U.S. Business and Economic Studies at the New York University Stern School of Business. In his current position, Dr. Sato teaches an MBA course in the comparative analysis of the Japanese and United States economies, an Undergraduate course ISP (International Studies Project,) and a Ph.D. level course on economic growth and technological change.

Dr. Sato has been with NYU Stern for more than 15 years. His primary areas of research interest are: economic growth, technical change, differential games, international business and United States-Japan relations.

Klappentext

The principal aim of BIASED TECHNICAL CHANGE AND ECONOMIC CONSERVATION LAWS is twofold: to reveal the new economic significance of the old concept of biased technical change and the current application of the new concept of economic conservation laws.

Although terms such as "labor saving" and "capital saving" fall under the category of biased technical change, the first of these topics, no model exists in which biased technical change gives rise endogenously to technical progress. A special feature of this book is its thorough investigation and analysis of these issues, which go far beyond existing studies in this area.

The concept of economic conservation laws dates back to Ramsey's classic study of 1928. This book primarily makes use of Lie groups to shed new light on the analysis of economic conservation laws. Economic conservation laws are not simply abstract concepts; this book shows that they are tools of empirical analysis that can be applied to such topics as analyses of macro performance and corporate efficiency.

Inhalt
An Overview.- An Overview.- Biased Technical Change.- The Stability of the Solow-Swan Model with Biased Technical Change.- A Model of Optimal Economic Growth with Endogenous Bias.- A Three Sector Model of Endogenous Hicksian Bias.- Estimation of Biased Technical Progress.- A Note on Modelling Endogenous Growth.- Technical Change and International Competition.- Economic Conservation Laws.- Optimal Economic Growth: Test of Income/Wealth Conservation Laws in OECD Countries.- Economic Conservation Laws as Indices of Corporate Performance.- Empirical Tests of the Total Value Conservation Law of the Firm.- Hartwick's Rule and Economic Conservation Laws.