Understanding the Interaction Between Macroeconomics and Innovation Policy

How can economic growth be created? Why do some countries grow faster than others? These are the key questions investigated in the FRAME project. Paul Romer, Nobel Prize winner in 2018, put technological change at the core of these long-standing macroeconomic questions. FRAME echoes this ground-breaking contribution by providing new DSGE modelling approaches and new TFP estimation methods to deepen our understanding of the link between innovation, productivity, and macroeconomic outputs. These findings are not only of interest for academia but also raise numerous questions for European policymakers. The FRAME Final Policy Conference will provide an opportunity to discuss these findings. Its aim is to re-think the European policy landscape in order to generate new fiscal, labour, and research and innovation policies for the diffusion of new technologies.