Technological Progress and Investment: A Non-Technical Survey

Raouf Boucekkine () and Bruno de Oliveira Cruz
Additional contact information
Bruno de Oliveira Cruz: IPEA - Instituto de Pesquisa Economica Aplicada

Working Papers from HAL

Abstract: This paper presents a non-technical overview of the recent investment literature with a special emphasis on the connection between technological progress and the investment decision. First of all, we acknowledge that some dramatic advances have been made in the 1990s in understanding and modelling non-convex capital adjustment schemes and irreversibility. Nonetheless, this new literature has not always satisfactorily accounted for the investment-specific (or embodied) nature of technical progress. We argue that the recent technological trends towards more embodiment have had a heavy impact on the way the investment decision is taken and is to be taken. This is turn should imply the reconsideration of many empirical results, and a more careful modelling strategy taking into account the price variables and scrupulously choosing the most appropriate level of (dis)aggregation.

Keywords: investment; technological progress; non-convex adjustment; irreversibility; embodiment (search for similar items in EconPapers)
Date: 2015-04
New Economics Papers: this item is included in nep-ger
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-01145485
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://shs.hal.science/halshs-01145485/document (application/pdf)

Related works:
Working Paper: Technological Progress and Investment: A Non-Technical Survey (2015)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:hal:wpaper:halshs-01145485

Access Statistics for this paper

More papers in Working Papers from HAL
Bibliographic data for series maintained by CCSD ().