Biased Technological Change and Poverty Traps

Fernando Perera-Tallo ()

No 8, Centro de Alti­simos Estudios Ri­os Pe©rez(CAERP) from Centro de Altisimos Estudios Rios Perez (CAERP)

Abstract: This paper presents a model in which technological change increases the share of reproducible factors at the expense of nonreproducible ones. When reproducible factors are abundant, firms have incentives to adopt technologies that are intensive in such resources, and this increases the incentives to invest more in them. This feedback process may generate growth or also stagnation: when reproducible factors are not abundant, firms do not have incentives to adopt technologies intensive in those resources and technological change does not take place. The paper also analyzes how biased technological change a.ects interpersonal distribution of income: nonreproducible factors are more equally distributed than reproducible ones, thus biased technological change increases inequality.

Pages: 33 pages
Date: 2003
New Economics Papers: this item is included in nep-dev, nep-dge and nep-lab
References: Add references at CitEc
Citations:

Downloads: (external link)
http://www.ssc.upenn.edu/~vr0j/caerp/WPapers/Biased.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:cae:caerpp:8

Access Statistics for this paper

More papers in Centro de Alti­simos Estudios Ri­os Pe©rez(CAERP) from Centro de Altisimos Estudios Rios Perez (CAERP) Contact information at EDIRC.
Bibliographic data for series maintained by Jose-Victor Rios-Rull ().