Modeling Directions of Technical Change in Agricultural Sector

Orachos Napasintuwong

No 201101, Working Papers from Kasetsart University, Department of Agricultural and Resource Economics

Abstract: This paper reviews the economic models explaining the directions of technical change. The application to agricultural sector is also explored. The induced innovation model extensively used in agricultural development studies has left unexplained stylized facts in several empirical evidences. This leads to the motivation of this paper to find an alternative model. While the induced innovation relies heavily on the change of relative factor price on biased technical change, the directed technical change model developed by Acemoglu (2002, 2007, 2009) endogenizes investment on research and explains the incentives of technology monopolists. The directed technical change model is developed and applied to agricultural sector. Given a hypothetical situation of increasing relative scarce agricultural labor, the model provides insights of which the policy direction for technical change in agricultural sector can be expected.

Keywords: directed technical change; induced innovation (search for similar items in EconPapers)
JEL-codes: O31 O33 (search for similar items in EconPapers)
Pages: 36 pages
Date: 2011-06
New Economics Papers: this item is included in nep-agr, nep-eff, nep-ino and nep-sea
References: View references in EconPapers View complete reference list from CitEc
Citations:

Published in ARE Working Paper No. 2554/1 (June 2011)

Downloads: (external link)
http://agri.eco.ku.ac.th/RePEc/kau/wpaper/are201101.pdf (application/pdf)
Our link check indicates that this URL is bad, the error code is: 404 Not Found

Related works:
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:kau:wpaper:201101

Access Statistics for this paper

More papers in Working Papers from Kasetsart University, Department of Agricultural and Resource Economics Contact information at EDIRC.
Bibliographic data for series maintained by Kanchana Sripruetkiat ().