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Learning-by-Doing and the Choice of Technology: The Role of Patience 31
Karp, Larry S.; Lee, In Ho.
If agents learn-by-doing and are myopic, less advanced firms might adopt new technologies while more advanced firms stick with the old technology. This kind of overtaking can also occur if agents are forward looking and have high discount rates. However, overtaking never occurs if agents are sufficiently patient. A finite discount rate increases the set of states at which agents adopt new technologies, so more patient agents tend to upgrade their technology more frequently.
Tipo: Working or Discussion Paper Palavras-chave: Learning-by-doing; Overtaking; Leapfrogging; Technology adoption; Economic growth; International Development; Research and Development/Tech Change/Emerging Technologies; D92; O14; O33.
Ano: 2000 URL: http://purl.umn.edu/25108
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Demystifying the German "Armament Miracle" During World War II. New Insights from the Annual Audits of German Aircraft Producers 31
Budrass, Lutz; Scherner, Jonas; Streb, Jochen.
Armament minister Albert Speer is usually credited with causing the boom in German armament production after 1941. This paper uses the annual audit reports of the Deutsche Revisions- und Treuhand AG for seven firms which together represented about 50 % of the German aircraft producers. We question the received view by showing that in the German aircraft industry the crucial changes that triggered the upswing in aircraft production already occurred before World War II. The government decided in 1938 that aircraft producers had to concentrate on a few different types, and in 1937 that cost-plus contracts were replaced with fixed price contracts. What followed was not a sudden production miracle but a continuous development which was fuelled first by learning...
Tipo: Working or Discussion Paper Palavras-chave: German armament miracle; World War II; Albert Speer; Aircraft industry; Learning-by-doing; Fixed-price contract; Labor productivity; Political Economy; H57; L64; N44.
Ano: 2005 URL: http://purl.umn.edu/28473
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Friction and the Multiplicity of Equilibria 31
Karp, Larry S.; Paul, Thierry.
In familiar models, a decrease in the friction facing mobile factors (e.g., lowering their adjustment costs) increases a coordination problem, leading to more circumstances where there are multiple equilibria. We show that a decrease in friction can decrease coordination problems if, for example, a production externality arises from a changing stock of knowledge or a changing environmental stock. In general, the relation between the amount of friction that mobile factors face and the likelihood of multiple equilibria is non-monotonic.
Tipo: Working or Discussion Paper Palavras-chave: Indeterminacy; Multiple equilibria; Coordination games; Factor reallocation; Environmental externality; Learning-by-doing; Costs of adjustment; Research Methods/ Statistical Methods; C61; J21; O13; R23.
Ano: 2005 URL: http://purl.umn.edu/25120
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