Proceedings of the Technology Innovation Conference (기술경영경제학회:학술대회논문집)
- 2004.02a
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- Pages.83-107
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- 2004
Long-Run Behavior of R&D Investment and Economic Growth : A Macro-Econometric Model
Abstract
This study investigates how and through which channels R&D activities influences the national economy, using a macro-econometric model. The macro-econometric model in this study includes 24 behavioral equations and 25 identities and was estimated using the annual data. From a simulation analysis, it is shown that the R&D investment has a permanent effect on real variables; lowering prices, wages and interest rates, and increasing potential and real GDP in the long run. It is noted that the national account was recalculated to avoid double-counting in estimation of R&D stocks.