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Economics of Growth and Innovation.
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Economics of Growth and Innovation ASSIGNMENT 2 Based upon the following readings: Helpman, E. (1997), "R&D and Productivity: The International Connection", NBER Working Paper Nš 6101. Xu, B. (2000), "Multinational Enterprises, Technology Diffusion, and Host Country Productivity Growth", Journal of Development Economics, 62, 477-93. 1. Introduction The effects of globalization are at our doorstep. We are already living in a "globalized" environment, and that is sensed through what is now called our "global economy". The increased mobility generated globally, whether it be for human or financial capital, especially from developed countries to less developed countries is an evidence of that globalization. And, although there are rising voices that speak against this, there are some who believe that the world would be a bad place to live, if it weren't the internationalization phenomenon. It is important to refer the role of R&D in the flow of human and financial capital discussed above. Helpman's paper refers that R&D is...
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