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Technological progress in the microp...

Sadasivan Pillai, Unnikrishnan K.

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Technological progress in the microprocessor industry.

Record Type:	Electronic resources : Monograph/item
Title/Author:	Technological progress in the microprocessor industry./
Author:	Sadasivan Pillai, Unnikrishnan K.
Published:	Ann Arbor : ProQuest Dissertations & Theses, : 2008,
Description:	124 p.
Notes:	Source: Dissertations Abstracts International, Volume: 70-06, Section: A.
Contained By:	Dissertations Abstracts International70-06A.
Subject:	Studies. -
Online resource:	https://pqdd.sinica.edu.tw/twdaoapp/servlet/advanced?query=3328336
ISBN:	9780549810650

Technological progress in the microprocessor industry.
Sadasivan Pillai, Unnikrishnan K.

Technological progress in the microprocessor industry. - Ann Arbor : ProQuest Dissertations & Theses, 2008 - 124 p.

Source: Dissertations Abstracts International, Volume: 70-06, Section: A.

Thesis (Ph.D.)--University of Minnesota, 2008.

Microprocessor performance increased at a faster rate in the 1990s than in the decade before or after the 1990s. I examine the possible causes of the acceleration in a model that endogenizes performance. The acceleration could have been caused by an increase in the rate of innovation in the upstream lithography industry which supplies the microprocessor industry with capital equipment embodying new technology which can increase performance. Further investigation is needed to understand the cause of the increase in the rate of innovation in the lithography industry. Using data from 1971-2008, I infer that performance is a function of the number of transistors and linewidth, which is a measure of the size of each transistor. Reductions in linewidth lead to faster microprocessors and can be made only by adopting new capital equipment supplied by the upstream lithography industry. The three engineering choices-performance, number of transistors, and linewidth-affect the profits of a microprocessor firm. Increasing the number of transistors increases variable costs and moving to a new linewidth involves huge fixed costs associated with using new lithography equipment. In a monopoly model of the industry, the profit maximizing choice of performance and the number of transistors is determined by the timing of adoption of new linewidth. Assuming a Poisson process for the arrival of innovations that reduce linewidth, I characterize the optimal linewidth adoption policy, and the associated optimal time paths of performance, number of transistors, prices and output. The model does well in fitting empirical facts about the industry. An increase in the rate of innovation in the lithography industry changes the linewidth adoption path of the microprocessor firm and causes performance to increase at a faster rate. In joint work with Sam Kortum and Ana Aizcorbe, I also calculate productivity growth in this industry using growth accounting. Equipment costs are calculated using the implications of a vintage capital model and are then used in the growth accounting exercise. We find that well over half of the real output growth in this industry is the consequence of better technology embodied in new capital equipment.

ISBN: 9780549810650Subjects--Topical Terms:

3433795
Studies.
Subjects--Index Terms:

Lithography

Technological progress in the microprocessor industry.
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300 $a 124 p.
500 $a Source: Dissertations Abstracts International, Volume: 70-06, Section: A.
500 $a Publisher info.: Dissertation/Thesis.
500 $a Advisor: Kortum, Samuel S.
502 $a Thesis (Ph.D.)--University of Minnesota, 2008.
520 $a Microprocessor performance increased at a faster rate in the 1990s than in the decade before or after the 1990s. I examine the possible causes of the acceleration in a model that endogenizes performance. The acceleration could have been caused by an increase in the rate of innovation in the upstream lithography industry which supplies the microprocessor industry with capital equipment embodying new technology which can increase performance. Further investigation is needed to understand the cause of the increase in the rate of innovation in the lithography industry. Using data from 1971-2008, I infer that performance is a function of the number of transistors and linewidth, which is a measure of the size of each transistor. Reductions in linewidth lead to faster microprocessors and can be made only by adopting new capital equipment supplied by the upstream lithography industry. The three engineering choices-performance, number of transistors, and linewidth-affect the profits of a microprocessor firm. Increasing the number of transistors increases variable costs and moving to a new linewidth involves huge fixed costs associated with using new lithography equipment. In a monopoly model of the industry, the profit maximizing choice of performance and the number of transistors is determined by the timing of adoption of new linewidth. Assuming a Poisson process for the arrival of innovations that reduce linewidth, I characterize the optimal linewidth adoption policy, and the associated optimal time paths of performance, number of transistors, prices and output. The model does well in fitting empirical facts about the industry. An increase in the rate of innovation in the lithography industry changes the linewidth adoption path of the microprocessor firm and causes performance to increase at a faster rate. In joint work with Sam Kortum and Ana Aizcorbe, I also calculate productivity growth in this industry using growth accounting. Equipment costs are calculated using the implications of a vintage capital model and are then used in the growth accounting exercise. We find that well over half of the real output growth in this industry is the consequence of better technology embodied in new capital equipment.
590 $a School code: 0130.
650 4 $a Studies. $3 3433795
650 4 $a Microprocessors. $3 517143
650 4 $a Computers. $3 544777
650 4 $a Technological change. $3 3564100
650 4 $a Technology adoption. $3 3681799
650 4 $a Semiconductors. $3 516162
650 4 $a Hypotheses. $3 3560118
650 4 $a Variables. $3 3548259
650 4 $a Engineering. $3 586835
650 4 $a Transistors. $3 713271
650 4 $a Performance evaluation. $3 3562292
650 4 $a Efficiency. $3 753744
650 4 $a Technology. $3 531676
650 4 $a Benchmarks. $3 3548256
653 $a Lithography
653 $a Microprocessor industry
653 $a Technological progress
653 $a Technology adoption
690 $a 0501
690 $a 0537
710 2 $a University of Minnesota. $3 676231
773 0 $t Dissertations Abstracts International $g 70-06A.
790 $a 0130
791 $a Ph.D.
792 $a 2008
793 $a English
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