NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Rates Of Return On Physical And R&D Capital And Structure Of The Production Process: Cross Section And Time Series Evidence

Jeffrey I. Bernstein, M. Ishaq Nadiri

NBER Working Paper No. 2570
Issued in April 1988
NBER Program(s):   PR

R&D investment is an outcome of a corporate plan and is influenced by the exisintg technology, by prices, by product demand characteristics, and by the legacy of past capital stock decisions. In this paper we focus on the determinants and interaction of labor, physical capital and R&D. In particular, we investigate three major issues. The first relates to the nature of the factor substitution possibilities between the three inputs in response to changes in input pricees and estimate the own and cross once elasticities of the factors of production. The second problem pertains to the magnitude of which output expansion (or what may be considered the same thing, product demand growth) increases labor, physical, and R&D capital. Finally, we address the extent to which adjustment costs affect factor demands, and measure the magnitude of these costs for physical and R&D capital.

download in pdf format
   (880 K)

download in djvu format
   (281 K)

email paper

This paper is available as PDF (880 K) or DjVu (281 K) (Download viewer) or via email.

Machine-readable bibliographic record - MARC, RIS, BibTeX

Document Object Identifier (DOI): 10.3386/w2570

Published:

  • Bernstein, Jeffrey I. and M. Ishaq Nadiri. "Interindustry R&D Sillovers, Rates Of Return, And Production In High-Tech Industries," American Economic Review, 1988, v78(2), 429-433. ,
  • Advances in Econometrics and Modelling, August 1989, ed. Baldev Raj ,published by The Netherlands: Kluwer Academic Publishers

Users who downloaded this paper also downloaded these:
Bernstein and Nadiri w3625 Product Demand, Cost of Production, Spillovers, and the Social Rate of Return to R&D
Bernstein and Nadiri w2002 Research and Development and Intraindustry Spillovers: An Empirical Application of Dynamic Duality
Bernstein and Nadiri w2554 Interindustry R&D Spillovers, Rates Of Return, and Production In High-Tech Industries
Hall and Lerner w15325 The Financing of R&D and Innovation
Schankerman and Nadiri w0931 Investment in R&D, Costs of Adjustment and Expectations
 
Publications
Activities
Meetings
NBER Videos
Data
People
About

Support
National Bureau of Economic Research, 1050 Massachusetts Ave., Cambridge, MA 02138; 617-868-3900; email: info@nber.org

Contact Us