Working Paper

Determinants of growth and convergence in a growing economy with heterogeneous entrepreneurs


  • Dohse
  • D.
  • Ott
  • I.
Publication Date

We develop an endogenous growth model which is focussed on entrepreneurial skills and their impact

on growth and convergence. Our work is closely related to the model by Acemoglu et al. (2006) but

extends their analysis in some important respects. Entrepreneurs in our model dispose of two different

skills (technological and systemic skills) and we are able to show that it is not only the absolute skill

level but also the aggregate distribution of different skills that drives growth and convergence of an

economy towards the world technology frontier.

Kiel Institute Expert


JEL Classification
O31, O33, O38, J24, L26

Key Words

  • distance to frontier
  • innovation
  • Key words: growth
  • selection
  • Skills