Found 39 article(s) for author 'Philippe Aghion'

Never Waste a Good Crisis? Growth and Decentralization in the Great Recession

Never Waste a Good Crisis? Growth and Decentralization in the Great Recession. Philippe Aghion, Raffaella Sadun, October 20, 2014, Paper. “We argue that decentralization is particularly beneficial to firm performance in “bad times”. We present a model where bad times increase the importance of rapid action, and improve the alignment of incentives of managers within firms. We test this idea exploiting the 2008-2009 Great Recession using firm-level cross country panel data combined with our survey data on firm organization…” Link

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Patent Rights, Product Market Reforms, and Innovation

Patent Rights, Product Market Reforms, and Innovation. Philippe Aghion, May 24, 2014, Paper. “In this paper, we provide empirical evidence to the effect that strong patent rights may complement competition-increasing product market reforms in inducing innovation. First, we find that the product market reform induced by the large-scale internal market reform of the European Union in 1992 enhanced innovation in industries of countries where patent rights are strong, but not in industries of countries where patent rights are weak. Second, the positive innovation response to…” Link verified September 8, 2014

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Growth and the Smart State

Growth and the Smart State. Philippe Aghion, March 5, 2014, Paper. “As countries develop, the main driver of economic growth shifts from imitation to innovation. These two sources of growth require different policies and institutions. In particular, in this article we argue that the transition from an imitation-based to an innovation-based economy calls the old welfare state model into question. It is not so much the size of the state that is at stake but rather its governance. What we need to foster economic growth in developed economies is not a reduced state but a strategic state…” Link

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The Causal Effects of Competition on Innovation: Experimental Evidence

The Causal Effects of Competition on Innovation: Experimental Evidence. Philippe Aghion, February 20, 2014, Paper. “In this paper, we design two laboratory experiments to analyze the causal effects of competition on step-by-step innovation. Innovations result from costly R&D investments and move technology up one step. Competition is inversely measured by the ex post rents for firms that operate at the same technological level, i.e. for neck and neck firms…” Link 

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Handbook of Economic Growth, Volume 2

Handbook of Economic Growth, Volume 2. Philippe Aghion, 2014, Book. The Handbooks in Economics series continues to provide the various branches of economics with handbooks which are definitive reference sources, suitable for use by professional researchers, advanced graduate students, or by those seeking a teaching supplement. With contributions from leading researchers, each Handbook presents an accurate, self-contained survey…” Link verified September 8, 2014

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Cyclical Macroeconomic Policy, Financial Regulation, and Economic Growth

Cyclical Macroeconomic Policy, Financial Regulation, and Economic Growth. Phillippe Aghion, Emmanuel Farhi, December 2013, Paper. “This paper investigates the effect of cyclical macroeconomic policy and financial regulation on growth. Using cross-country, cross-industry OECD data, it yields two main findings. First, counter-cyclical fiscal and monetary policies foster disproportionately growth in more credit/liquidity constrained industries. Second, while tighter financial regulation –in the form of higher bank capital ratios- may contribute to reducing the benefit of a counter-cyclical monetary policy…” Link

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What Do We Learn From Schumpeterian Growth Theory?

What Do We Learn From Schumpeterian Growth Theory. Philippe Aghion, February 15, 2013, Paper. “Schumpeterian growth theory has “operationalized” Schumpeter’s notion of creative destruction by developing models based on this concept. These models shed light on several aspects of the growth process which could not be properly addressed by alternative theories. In this survey, we focus on four important aspects, namely: (i) the role of competition and market structure; (ii) rm dynamics; (iii) the relationship between growth and development with the notion of appropriate growth institutions; (iv) the emergence and impact of long-term…”  Link

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The Environment and Directed Technical Change

The Environment and Directed Technical Change. Philippe Aghion, February 2012, Paper. “This paper introduces endogenous and directed technical change in a growth model with environmental constraints. The final good is produced from “dirty” and “clean” inputs. We show that: (i) when inputs are sufficiently substitutable, sustainable growth can be achieved with temporary taxes/subsidies that redirect innovation toward clean inputs; (ii) optimal policy involves both “carbon taxes” and research subsidies, avoiding excessive use of carbon taxes…” Link

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