TY  - UNPD
A1  - Donadelli, Michael
A1  - Grüning, Patrick
T1  - Innovation dynamics and fiscal policy: implications for growth, asset prices, and welfare
T2  - SAFE working paper series ; No. 171
N2  - We study the general equilibrium implications of different fiscal policies on macroeconomic quantities, asset prices, and welfare by utilizing two endogenous growth models. The expanding variety model features only homogeneous innovations by entrants. The Schumpeterian growth model features heterogeneous innovations: "incremental" innovations by incumbents and "radical" innovations by entrants. The government levies taxes on labor income and corporate profits and supplies subsidies to consumption, capital investment, and investments in research and development by entrants and, if applicable, incumbents. With these models at hand, we provide new insights on the interplay of innovation dynamics and fiscal policy.
T3  - SAFE working paper - 171 
KW  - Endogenous growth
KW  - Asset pricing
KW  - Government
KW  - Fiscal policy
KW  - Heterogeneous innovation
Y1  - 2017
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/43162
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-431627
UR  - https://ssrn.com/abstract=2955089
IS  - This version: April 13, 2017
PB  - SAFE
CY  - Frankfurt am Main
ER  -