| This dissertation consists of three essays that explore a variety of factors affecting economic growth across countries.; The first essay deals with fluctuations in oil prices. These have trend effect as well as cyclical effects on growth. Data for ten OECD countries shows that the relative share of a country's transportation sector has a major impact on that nation's petroleum dependency. More important, I find that the transport sector's oil price elasticity is a key determinant of growth.; The second essay analyzes why countries grow at different rates from an investment perspective. From my empirical work it appears that nations with higher initial incomes grow more slowly than countries with initially lower incomes. This might seem to imply income convergence. However, I find that the initial stock of human capital and its subsequent growth are associated with faster growth which somewhat attenuates convergence. As in recent growth models, I find that government consumption, political instability, and higher rates of population growth are associated with slower growth.; The third essay studies technology's contribution to growth. In advanced economies, consistent with their comparative advantage in R&D, domestic technology proxied by resident patents strongly influences growth. However, my results suggest that imitation by less advanced countries of technologies developed in those more advanced is the principal engine of growth in these nations. I also find that in advanced countries, inventions per scientist and engineer raise the rates of growth which is consistent with the literature on invention exhaustion. Finally, I find that the potential for enhanced division of labor through interrelated growth of advanced and follower countries, is associated with higher growth in the advanced countries, but that technology acquisition in the newly industrializing countries is associated with deceleration of growth in the advanced countries. |
