Found 308 article(s) in category 'Innovation'

Entrepreneurship and the City

Entrepreneurship and the City. Edward Glaeser, October 2007, Paper. “Why do levels of entrepreneurship differ across America’s cities? This paper presents basic facts on two measures of entrepreneurship: the self-employment rate and the number of small firms. Both of these measures are correlated with urban success, suggesting that more entrepreneurial cities are more successful. There is considerable variation in the self-employment rate across metropolitan areas, but about one-half of this heterogeneity can be explained by demographic and industrial variation. Self-employment is particularly associated with abundant, older…” Link

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The Product Space Conditions in the Development of Nations

The Product Space Conditions in the Development of Nations. Ricardo Hausmann, July 27, 2007, Paper. “Economies grow by upgrading the products they produce and export. The technology, capital, institutions, and skills needed to make newer products are more easily adapted from some products than from others. Here, we study this network of relatedness between products, or “product space,” finding that more-sophisticated products are located in a densely connected core whereas less-sophisticated products occupy a less-connected periphery. Empirically, countries move through the product space by developing goods close to those…” Link

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Structural Transformation in Chile

Structural Transformation in Chile. Ricardo Hausmann, June 2007, Paper. “Chile’s robust economic growth during Latin America’s period of economic stagnation has earned it the reputation of an economic star. However, the impressive growth during the 1980s and 1990s seems to be cooling down. The following figure shows GDP per worker and investment per worker from 1960 to 2004, both of which level off in the late 1990s…” Link

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Confronting the Climate-Energy Challenge

Confronting the Climate-Energy Challenge. Daniel Schrag, June 2007, Paper. “Combustion of coal, oil, and gas has raised the amount of carbon dioxide in the atmosphere to levels higher than they have been for millions of years. A brief review of the history of Earth’s climate puts the next hundred years in its natural context, suggesting that most predictions based on climate models may be underestimating the problem. Reducing risks of future climate change requires changes in existing energy systems. These changes will be in three areas: increasing energy efficiency, increasing the stock of non-fossil energy generation…” Link

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The Structure of the Product Space and the Evolution of Comparative Advantage

The Structure of the Product Space and the Evolution of Comparative Advantage, Ricardo Hausmann, April 2007, Paper, This paper establishes a robust stylized fact: changes in the revealed comparative advantage of nations are governed by the pattern of relatedness of products at the global level. As countries change their export mix, there is a strong tendency to move towards related goods rather than to goods that are farther away. The pattern of relatedness of products is only very partially explained by similarity in broad factor or technological intensities, suggesting that the relevant determinants are much more product-specific. Moreover, the pattern of relatedness of products exhibits very strong heterogeneity: there are parts of this ‘product space’ that are dense while others are sparse. Link

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Political Economy of Panchayats in South India

Political Economy of Panchayats in South India. Rohini Pande, February 24, 2007, Paper. “Based on a study of some 500 villages in the four southern Indian states of Andhra Pradesh, Karnataka, Kerala and Tamil Nadu, this paper examines how the functioning of the panchayat system mandated by the 73rd amendment to the Constitution has had an impact on the economic status of villages and the households within them. The study finds that gram panchayats, created by this massive experiment in democratic decentralisation, have had an effect on the delivery of public services, for example…” Link

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Preparing to Capture Carbon

Preparing to Capture Carbon. Daniel Schrag, February 9, 2007, Paper. “Carbon sequestration from large sources of fossil fuel combustion, particularly coal, is an essential component of any serious plan to avoid catastrophic impacts of human-induced climate change. Scientific and economic challenges still exist, but none are serious enough to suggest that carbon capture and storage will not work at the scale required to offset trillions of tons of carbon dioxide emissions over the next century. The challenge is whether the technology will be ready when society decides that it is time to get going…” Link

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Coordinating Development: Can Income-based Incentive Schemes Eliminate Pareto Inferior Equilibria?

Coordinating Development: Can Income-based Incentive Schemes Eliminate Pareto Inferior Equilibria? Rohini Pande, January 2007, Paper, “Individuals’ inability to coordinate investment may significantly constrain economic development. In this paper we study a simple investment game characterized by multiple equilibria and ask whether an income-based incentive scheme can uniquely implement the high investment outcome. A general property of this game is the presence of a crossover investment point at which an individual’s incomes from investment and non- investment are equal. We show that arbitrarily small errors in the government’s knowledge of this crossover point can prevent unique implementation of the high investment outcome. We conclude that informational requirements are likely to severely limit a government’s ability to use income-based incentive schemes as a coordination device.” Link

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