Based on a newly compiled set of Chinese data, this paper puts established assump-tions on the role of technological variety in perspective. It does so from two main an-gles. First, by documenting whether, in China, technological variety has played a simi-lar role for regional development as in...

We provide a general theoretical characterization of how firms' technology choice on a technology frontier determines the long-run elasticity of substitution between capital and labor. We show that the shape of the frontier determines factor shares and the elasticity of substitution between...

We provide a general theoretical characterization of how technology choice affects the long-run elasticity of substitution between capital and labour. While the shape of the technology frontier determines the long-run growth path and the long-run elasticity, adjustment costs in technology choice...