An Unbalanced Endogenous Growth Model Based On The Difference In R&D Investment Efficiency Between Industries

Under the premise that the economy has entered the new norm,in order to cope with changes of economic development stage,to ensure rapid economic growth,we must change the mode of economic development,optimize the economic structure,and promote scientific and technological innovation.However,the traditional theory of economic growth is usually concerned about the growth of the total economy,without paying attention to the changes of the proportion of the sectors of the economy.For the new normal C hina's economy,we should take into account the two aspects of total and structure.Based on the theory of endogenous growth and Pugno model,this paper extends the Pugno model to subdivide the labor force of each department into two parts: R & D and production.This paper constructs an endo genous economic growth model,which has multiple departments,and the difference in labor productivity in the model is caused by differences in R & D efficiency.The goal of this paper is to introduce the idea of technological progress in the new growth theory into non-equilibrium growth model.And then discuss the differences in labor productivity caused by differences in R & D efficiency will have any impact on the industrial structure and economic growth.Therefore,this paper first reviews the neoclassical economic growth theory and the non-equilibrium growth theory,and then analyzes the Pugno model.The paper then puts forward the assumptions and basic equations of the model,and finally solves the equations and makes empirical tests on the conclusio ns of C hina's economic reality.The conclusions of this paper include:(1)The technological progress of each department in the economy includes the technological progress caused by R & D and the technological progress caused by learning by doing.Within the various departments,the labor force engaged in research and development and the labor force engaged in production are flowing with each other.Driven by the maximization of the sector,the proportion of labor within the department depends on the efficiency of R & D and the effect of learning by doing.(2)As the department's R & D efficiency is different,the labor productivity of each department is different.Under the condition that the actual demand for the product is constant,the labor force will flow from the sector with higher technological progress(Ie,the department with high labor productivity)to the sector where labor productivity is lagging behind.(3)As the wages of the various departments are equal,the difference in labor productivity will lead to a gradual increase in production costs in the sector of the lagging productivity,and then lead to its relative price gradually increased.(4)Efficiency affects the structure and speed,and the lagging productivity of the service sector will lead to a decline in economic growth.The article's innovation: the Pugno model will be further expanded from the mind.We will introduce R & D into the Pugno model.At the same time,the internal labor force will be subdivided into engaged in research and development and engaged in production.The labor force engaged in research and development brings the technological progress within the department.Different R & D efficiencies lead to different levels of technological progress in each sector,which in turn leads to differences in labor productivity across sectors.The article thus realized the endogenous of technological progress and labor flow.This paper inherits the core idea of technology improved by R & D in endogenous growth theory,and realizes the fusion of Pugno model and mainstream endogenous growth theory.