Traditional growth theory emphasizes the incentives for capital accumulation rather than technological progress; innovation is treated as an exogenous process or a by-product of investment in machinery and equipment. Grossman and Helpman develop an approach in which innovation is viewed as a deliberate outgrowth of investments in industrial research by forward looking, profit-seeking agents. They also devote attention to the place of international trade in the growth process, including the transmission of innovations from the industrial economies to the IDCs. Grossman and Helpman provide an overview of recent analyses of innovation and growth, expanding the available formal theory in a number of ways. They develop straightforward theoretical models that treat innovation as the outgrowth of costly investments in industrial competitive conditions in national and international product markets. Since firms in different countries race to bring out new products, growth processes are linked by international technological competition. An important aspect of Grossman and Helpman's study, is that they focus on the growth process of a country that operates in a global economy. They allow comparative advantage to be created endogenously in the industrial research laboratory but look at the dynamic determinants in the pattern of trade and the interactions between trade and growth. One chapter is devoted entirely to how economic integration affects a country's innovation and growth, while another studies the effects of national policies in an international environment. The final two chapters take up interaction between the processes of innovation in the industrialized North and imitation in the middle income South.

Innovation and Growth in the Global Economy

Business & Money

Grossman, Gene M.

Helpman, Elhanan

Economics

Mit Pr

This landmark theoretical book is about the mechanisms by which special interest groups affect policy in modern democracies. Defining a special interest group as any organization that takes action on behalf of an identifiable group of voters, Gene Grossman and Elhanan Helpman ask: How do special interest groups derive their power and influence? What determines the extent to which they are able to affect policy outcomes? What happens when groups with differing objectives compete for influence?
The authors develop important theoretical tools for studying the interactions among voters, interest groups, and politicians. They assume that individuals, groups, and parties act in their own self-interest and that political outcomes can be identified with the game-theoretic concept of an equilibrium. Throughout, they progress from the simple to the more complex. When analyzing campaign giving, for example, they begin with a model of a single interest group and a single, incumbent policy maker. They proceed to add additional interest groups, a legislature with several independent politicians, and electoral competition between rival political parties. The book is organized in three parts. Part I focuses on voting and elections. Part II examines the use of information as a tool for political influence. Part III deals with campaign contributions, which interest groups may use either to influence policy makers' positions and actions or to help preferred candidates to win election.

Special Interest Politics

Grossman and Helpman develop a unique approach in which innovation is viewed as a deliberate outgrowth of investments in industrial research by forward-looking, profit-seeking agents.

Literature & Fiction

Dramas & Plays

The MIT Press

Interest Groups and Trade Policy

Gene Grossman and Elhanan Helpman are widely acclaimed for their pioneering theoretical studies of how special interest groups seek to influence the policymaking process in democratic societies. This collection of eight of their previously published articles is a companion to their recent monograph, Special Interest Politics. It clarifies the origins of some of the key ideas in their monograph and shows how their methods can be used to illuminate policymaking in a critical area.
 Following an original introduction to the contents of the book and its relationship to Special Interest Politics, the first three chapters focus on campaign contributions and candidate endorsements--two of the tools that interest groups use in their efforts to influence policy outcomes. The remaining chapters present applications to trade policy issues. Grossman and Helpman demonstrate how the approaches developed in their monograph can shed light on tariff formation in small and large countries, on the conduct of multilateral trade negotiations, and on the viability of bilateral free trade agreements. They also examine the forms that regional and multilateral trade agreements are likely to take and the ways in which firms invest abroad to circumvent trade barriers induced by political pressures.
 The articles collected in this volume are required reading for anyone interested in international relations, trade policy, or political economy. They show why Grossman and Helpman are global leaders in the fields of international economics and political economy.

International

Princeton University Press

See the best price to sell, buy, or rent books by Grossman, Gene M.. BookScouter helps to compare book prices from 25+ online bookstores and 30+ buyback vendors with a single search.

Books by Grossman, Gene M.

See the best price to sell, buy, or rent books by Grossman, Gene M.. BookScouter helps to compare book prices from 25+ online bookstores and 30+ buyback vendors with a single search.

Innovation and Growth in the Global Economy

Special Interest Politics

Innovation and Growth in the Global Economy

Special Interest Politics

Interest Groups and Trade Policy

Interest Groups and Trade Policy