Author(s)

Grigoris Zarotiadis, Eirini Ozouni^*

Division of Development and Planning, Department of Economics, School of Economics and Political Sciences, Aristotle University of Thessaloniki, Thessaloniki, Greece.

Standard growth theory considers a constant, endogenously defined rate of technological change that generates a log-linear evolution of economic activity. Yet, the persistent current phase of worldwide slowdown triggers the awakening of “long waves” theories. In the present paper, starting from a dynamically evolving synergy of Romer’s “fishing out” and “standing on shoulders” effects, we end up having three mechanisms that provoke a cyclical evolution of applied ideas: a direct impact through applied research’s productivity; an effect through researcher’s effort allocation; and an effect through the allocation of labour force. Putting these together, we initiate long waves of per capita (p.c.) output.

Long Waves, Standing on Shoulders, Fishing out, Technological Change

Zarotiadis, G. and Ozouni, E. (2017) Standing-on-Shoulder and Fishing-Out Synergies: A Model for Endogenous Long-Waves. Theoretical Economics Letters, 7, 2194-2212. doi: 10.4236/tel.2017.77150.