Theory and Modern Applications
Table 1 Parameter values for R&D model (2)
From: Conditions for prosperity and depression of a stochastic R&D model under regime switching
Parameter | Value |
|---|---|
n, the expected population growth rate | >0 |
σ, the size of uncertainty coming from the population growth | >0 |
ξ, the “production” of technology returns to scale on capital | >0 |
η, the labor-input ratio in the R&D sector | >0 |
α, the capital-input ratio in the goods-producing sector | >0 |
θ, the “production” of technology returns to scale on technology | (−1,0) |