2014-09-152014-09-152014-09-152016-05-12https://repositorio.banrep.gov.co/handle/20.500.12134/6132We study endogenous growth within a model with occupational choice in which innovators produce ideas, within an asymmetric information framework. Each innovator has private knowledge of their production costs. Developers offer innovators non-linear contract schemes that affect both the number of innovators and the rate of economic growth. Two main results are obtained. First, the equilibrium contract under asymmetric information leads to the selection of highly-talented workers in R&D activities. Second, the growth rate is lower in the private information case when compared to the full-information benchmark due to the existence of an efficiency-rent extraction trade-off.PDFspaOpen AccessWorking PaperO31 - Innovation and Invention: Processes and IncentivesD82 - Asymmetric and Private Information; Mechanism DesignO33 - Technological Change: Choices and Consequences; Diffusion ProcessesAdverse selectionInnovationEndogenous growthInnovadores -- Costos de producciónDesarrollo económicoCrecimiento endógeno (Economía)Acceso abiertoAtribucion-NoComercial-CompartirIgual CC BY-NC-SA 4.0O31 - Innovación e invención: procesos e incentivosO33 - Cambio tecnológico: opciones y consecuencias; DifusiónD82 - Información privada y asimétrica; Diseño de mecanismosLas opiniones contenidas en el presente documento son responsabilidad exclusiva de los autores y no comprometen al Banco de la República ni a su Junta Directiva.https://hdl.handle.net/20.500.12134/6132