TY  - JOUR
AU  - Parente,Stephen L.
AU  - Prescott,Edward C.
TI  - Technology Adoption and Growth
JF  - National Bureau of Economic Research Working Paper Series
VL  - No. 3733
PY  - 1991
Y2  - June 1991
UR  - http://www.nber.org/papers/w3733
L1  - http://www.nber.org/papers/w3733.pdf
N1  - Author contact info:
Stephen Parente
University of Minnesota
Department of Finance
Carlson School of Management
321 19th Avenue South, Room 3-122
Minneapolis, MN 55455
E-Mail: paren010@umn.edu

Edward C. Prescott
Arizona State University
Economics Department
P. O. Box 879801
Tempe, AZ 85287-9801
E-Mail: edward.prescott@asu.edu
AB  - Technology change is modeled as the result of decisions of individuals and groups of individuals to adopt more advanced technologies. The structure is calibrated to the U.S. and postwar Japan growth experiences. Using this calibrated structure we explore how large the disparity in the effective tax rates on the returns to adopting technologies must be to account for the huge observed disparity in per capita income across countries. We find that this disparity is not implausibly large.
ER  -