Moore's law and learning by doing

Boyan Jovanovic, Peter L. Rousseau

    Research output: Contribution to journalArticle

    Abstract

    We model Moore's law as efficiency of computer producers that rises as a by-product of their experience. We find the following: (1) Because computer prices fall much faster than the prices of electricity-driven and diesel-driven capital ever did, growth in the coming decades should be very fast. (2) The obsolescence of firms today occurs faster than before, partly because the physical capital they own becomes obsolete faster. Journal of Economic Literature Classification Number: O3.

    Original languageEnglish (US)
    Pages (from-to)346-375
    Number of pages30
    JournalReview of Economic Dynamics
    Volume5
    Issue number2
    DOIs
    Publication statusPublished - 2002

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    Keywords

    • Computers
    • Electricity
    • Internal combustion

    ASJC Scopus subject areas

    • Economics and Econometrics

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