Education, innovation, and growth [Elektronische Ressource] : critical appraisal and cliometric analyses with implications for present economic policy / vorgelegt von Normann Mueller

Muellern

Informations

• Publié par: eberhard_karls_universitat_tubingen
• Publié le: 01 janvier 2009
• Nombre de lectures: 6
• Langue: English
• Poids de l'ouvrage: 1 Mo

Extrait

Education, Innovation, and Growth –
Critical Appraisal and Cliometric Analyses with
Implications for Present Economic Policy
Inaugural-Dissertation
zur Erlangung des Doktorgrades
der Wirtschaftswissenschaftlichen Fakultät
der Eberhard Karls Universität Tübingen
vorgelegt von
Normann Mueller
aus Groß-Gerau
2009II

Dekan/in: Professorin Dr.rer.pol. Kerstin Pull
Erstberichterstatter/in: Professor Dr.rer.pol. Jörg Baten
Zweitberichterstatter/in: Professor Dr.oec.publ. Dr.h.c.mult. Eberhard Schaich
Tag der mündlichen Prüfung: 10. März 2009 III
Acknowledgements
The dissertation at hand summarizes my academic research as a doctoral candidate,
which was carried out from 2005 through 2008 under the supervision of my advisor,
Professor Dr. Joerg Baten. My deepest gratitude appertains to him for placing so much trust in
my abilities and granting the autonomy I desired for my research. At the same time, he was
always available for me and willing to provide help if needed. My work has been improved
significantly based on his comments. It is further mainly due to his support that I was given
the chance to present my work at first-class international conferences. The second advisor of
my thesis is Professor Dr. oec. publ. Dr. h.c. mult. Eberhard Schaich. Because he is adept in
the applied statistical and econometric methods, his readiness to provide a report on my work
was extremely valuable. I wish to cordially thank him for agreeing quite spontaneously to
take on this role.
My research was funded by the DFG-financed research training group titled
“Unternehmensentwicklung, Marktprozesse und Regulierung in dynamischen Entscheidungs-
modellen" at the University of Tuebingen, Faculty of Economics and Business Administra-
1
tion. I am much obliged to the faculty staff for finding it worthwhile to support my work and
for providing valuable input at the yearly research seminars.
Further, my work has benefitted greatly from comments, criticism, and ideas by the
members of the economic history department at the University of Tuebingen. In particular,
Dorothee Crayen, who had to share an office with me, was helpful in numerous long and short
discussions. Also, Dominic Behle with his persistent speculating mind acted as an inspiring

1 DFG = Deutsche Forschungsgemeinschaft. IV Acknowledgements
counterpart in many conversations, which contributed to my understanding of econometric
methods and the interaction of education and innovation. Other valuable comments were
given by participants of conferences and workshops whom I cannot name all.
Special thanks go to Rainer Metz and his colleagues from the Central Archive of
historical social research for providing the IAB innovation data and comprehensive
documentation material. Also, I am indebted to Professor Dr. Joerg Baten and Dorothee
Crayen for providing historical numeracy data that was indispensable for parts of my
research.
Constanze Dobler has offered endless patience and willingness to listen to me talking
about my research. I cannot overemphasize the value of this support, because it was crucial to
help me understand my own work better. She has further provided valuable hints at relevant
literature, for which I am very grateful.
Martin Weiß has done an excellent job on proof-reading the whole thesis and spicing up
my English. Given the time pressure in the final phase of submission, I am extraordinarily
thankful for his spontaneous help.
Last but not least, I thank my parents, Herbert Mueller and Ingrid Schmidt-Mueller, for
recognizing the value of a good education and making it possible for me to break grounds,
which had been inaccessible for previous generations of my family.
V
Table of Contents
1 INTRODUCTION............................................................................................................ 1
1.1 Motivation and general comments ................................................................................. 1
1.2 Content and summary of findings .................................................................................. 4
2 (MIS-)UNDERSTANDING EDUCATION EXTERNALITIES.................................. 7
2.1 Introduction .................................................................................................................... 8
2.2 Clarification of concepts .............................................................................................. 11
2.3 Externalities as a reason for fiscal intervention ........................................................... 16
2.3.1 The concept of externalities...................................................................................... 16
2.3.2 Other reasons for fiscal intervention ....................................................................... 18
2.4 Education externalities ................................................................................................. 20
2.4.1 Nature....................................................................................................................... 20
2.4.2 Magnitude................................................................................................................. 27
2.5 Discussion .................................................................................................................... 30
2.5.1 Internalization of level effects .................................................................................. 30
2.5.2 Criticism of empirical surveys.................................................................................. 34
2.5.3 Assessing growth effects........................................................................................... 38
2.6 Conclusions and research agenda................................................................................. 41
3 DEMOCRACY AND PUBLIC EDUCATIONAL SPENDING................................. 45
3.1 Introduction .................................................................................................................. 46
3.2 Data .............................................................................................................................. 52 VI Table of Contents
3.2.1 Education expenditures ............................................................................................ 52
3.2.2 Democracy ............................................................................................................... 57
3.3 Methodology ................................................................................................................ 59
3.3.1 Empirical model ....................................................................................................... 59
3.3.2 Estimation strategy................................................................................................... 69
3.4 Results .......................................................................................................................... 72
3.5 Discussion .................................................................................................................... 76
3.6 Conclusions .................................................................................................................. 84
Appendix A .............................................................................................................................. 87
A.1 Complete regression table based on (3.1) and (3.2)...................................................... 87
A.2 Complete regression table based on (3.3) and (3.4)...................................................... 88
A.3 Correlation matrix for equations (3.2) and (3.4)........................................................... 89
4 INNOVATION AND GROWTH ON A MACRO LEVEL, 1500-1990..................... 91
4.1 Introduction .................................................................................................................. 92
4.2 Literature and theoretical framework........................................................................... 94
4.3 The IAB innovation database....................................................................................... 99
4.4 Innovation and growth in the long run ....................................................................... 106
4.4.1 Qualitative analysis................................................................................................ 107
4.4.2 Quantitative analysis.............................................................................................. 116
4.4.3 Implications............................................................................................................ 119
4.5 The innovation process in the long run ...................................................................... 120
4.5.1 The empirical model............................................................................................... 120
4.5.2 Results .................................................................................................................... 124
4.5.3 Robustness.............................................................................................................. 127
4.6 Interpretation of results .............................................................