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International Technology Transfer: Who Gains and Who Loses?

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  • Roy J. Ruffin
  • Ronald W. Jones

Abstract

When one country has a superior technology in all commodities, a Ricardian model with two goods and two countries is used to examine uncompensated transfers of superior technology in one or both goods. A transfer of the superior but second‐best technology always benefits the advanced country because it was improting that good initially and now gets it cheaper. But the free gift of the first‐best technology can also benefit the advanced country if a certain productivity condition is satisfied because that country may now export its former import good at an even better terms of trade.

Suggested Citation

  • Roy J. Ruffin & Ronald W. Jones, 2007. "International Technology Transfer: Who Gains and Who Loses?," Review of International Economics, Wiley Blackwell, vol. 15(2), pages 209-222, May.
    • Handle: RePEc:bla:reviec:v:15:y:2007:i:2:p:209-222
    DOI: 10.1111/j.1467-9396.2007.00644.x
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    Citations

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    Cited by:

    1. Martin Davies, 2016. "Technology Transfer and North–South," Review of International Economics, Wiley Blackwell, vol. 24(3), pages 447-483, August.
    2. Richard B. Freeman, 2015. "Immigration, International Collaboration, and Innovation: Science and Technology Policy in the Global Economy," Innovation Policy and the Economy, University of Chicago Press, vol. 15(1), pages 153-175.
    3. Freeman, Richard Barry, 2015. "Knowledge, Knowledge … Knowledge for My Economy," Scholarly Articles 33496270, Harvard University Department of Economics.
    4. Beladi, Hamid & Chakrabarti, Avik & Marjit, Sugata, 2013. "Cross-border mergers in vertically related industries," European Economic Review, Elsevier, vol. 59(C), pages 97-108.
    5. Ronald W. Jones & Roy J. Ruffin, 2018. "The Technology Transfer Paradox," World Scientific Book Chapters, in: International Trade Theory and Competitive Models Features, Values, and Criticisms, chapter 3, pages 31-46, World Scientific Publishing Co. Pte. Ltd..
    6. Jürgen Bitzer & Holger Görg & Philipp J.H. Schröder, 2012. "Can Trade Really Hurt? An Empirical Follow-Up On Samuelson'S Controversial Paper," Economic Inquiry, Western Economic Association International, vol. 50(3), pages 724-738, July.
    7. Jones, Ronald W., 2010. "Art works in international trade theory," International Review of Economics & Finance, Elsevier, vol. 19(1), pages 64-74, January.
    8. Yuntong Wang & Xiaopeng Yin, 2016. "Technology Transfer, Welfare, and Wage Inequality," Review of Development Economics, Wiley Blackwell, vol. 20(2), pages 611-623, May.
    9. Richard B. Freeman, 2013. "One Ring to Rule Them All? Globalization of Knowledge and Knowledge Creation," NBER Working Papers 19301, National Bureau of Economic Research, Inc.
    10. Edwin L.-C. Lai, 2008. "Globalization of production and the technology transfer paradox," Working Papers 0810, Federal Reserve Bank of Dallas.
    11. Mohamed Saadi, 2011. "Technology Transfer, Foreign Direct Investment, Licensing and the Developing Countries’ Terms of Trade," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 5(4), pages 381-420, November.
    12. Vladimir Gligorov, 2016. "The Transfer and Adjustment Problems in the Balkans," wiiw Balkan Observatory Working Papers 125, The Vienna Institute for International Economic Studies, wiiw.
    13. Richard B. Freeman, 2010. "What Does Global Expansion of Higher Education Mean for the United States?," NBER Chapters, in: American Universities in a Global Market, pages 373-404, National Bureau of Economic Research, Inc.
    14. Freeman, Richard B., 2015. "Knowledge, Knowledge… Knowledge for My Economy," KDI Journal of Economic Policy, Korea Development Institute (KDI), vol. 37(2), pages 1-21.

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