Papers

We develop a forward-looking profit model to estimate the depreciation rates of business R&D capital. By using data from Compustat, BEA, and NSF between 1987 and 2008, and the newly developed model, we estimate both constant and time-varying industry-specific R&D depreciation rates. The… Read more

The expanding recognition of intangible assets in the production of economic output brings renewed attention to difficult measurement issues. Price and quantity measures are needed to incorporate these components of real investment in the national accounts. This paper describes the construction… Read more

This paper develops a framework for constructing an R&D output price index. Based on a model of the innovator, we show that the price of innovation is equal to the expected discounted stream of profits attributable to the adoption of the innovation. Using this relationship, we construct an R… Read more

This paper is part of a series that provides the details behind the Bureau of Economic Analysis's (BEA) satellite account on research and development (R&D) activity. It describes the data and experimental methodology used to create the GDP-by-Industry component of the satellite account for… Read more

This paper discusses the methodologies used in constructing current- and constant-cost R&D net stocks and depreciation flows in the 2007 R&D Satellite Account. It also constructs net rates of return on private assets inclusive of R&D in a manner consistent with recent issues of the… Read more

This paper discusses the methodologies used in constructing current-dollar R&D investment in the 2007 R&D Satellite Account. It also provides an overview of the current treatment of R&D in the national economic accounts and discusses how R&D as investment would affect gross… Read more

This paper is part of a series that provides the details behind the Bureau of Economic Analysis's (BEA) satellite account on research and development (R&D) activity. In the current work, the focus is on the theoretical underpinnings and empirical implementation of the R&D price index… Read more

This paper discusses how the industry-specific rates of depreciation for R&D used to construct the 2007 R&D Satellite Account were determined after a review of the literature.

This paper presents an analysis of an international component in the R&D satellite account. It provides experimental estimates of the impact of treating R&D as investment on several dimensions of international transactions. It also discusses several important conceptual and… Read more