The labour-share decrease and the technological-knowledge increase

摘要

We extend the R&D-growth literature by considering an endogenous labour share of the aggregate income to analyse the effects on macroeconomic aggregates. Up to the stable and unique steady-state, the share of skilled workers in the R&D sector first has an instantaneous drop and then starts to increase, the economic-growth rate and the skill-premium increase, and the labour share of the aggregate income decreases due to automation.