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What drives trade-related R&D spillovers? Decomposing knowledge-diffusing trade flows

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  • Bitzer, Jurgen
  • Geishecker, Ingo

Abstract

Our paper decomposes knowledge-diffusing trade flows and estimates their impacts separately. Overall, trade generates positive knowledge spillovers, but the effects of intra-industry trade are ambiguous. With regard to sectoral import penetration, we find that potential positive spillovers are dominated by negative competition effects. This, however, masks the significant positive spillover effects of intra-industry trade that corresponds to international outsourcing.
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  • Bitzer, Jurgen & Geishecker, Ingo, 2006. "What drives trade-related R&D spillovers? Decomposing knowledge-diffusing trade flows," Economics Letters, Elsevier, vol. 93(1), pages 52-57, October.
    • Handle: RePEc:eee:ecolet:v:93:y:2006:i:1:p:52-57
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    4. Asid, Rozilee & khalifah, noor, 2016. "The Effects of Foreign R&D and Triadic Patent Propensity on Developing Economies Efficiency and Convergence," Jurnal Ekonomi Malaysia, Faculty of Economics and Business, Universiti Kebangsaan Malaysia, vol. 50(2), pages 107-124.
    5. Dieppe, Alistair & Mutl, Jan, 2013. "International R&D Spillovers: Technology Transfer vs. R&D Synergies," Working Paper Series 1504, European Central Bank.
    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. Francesco VENTURINI, 2008. "Information Technology, Research & Development, or Both? What Really Drives A Nation's Productivity," Working Papers 321, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
    8. Catherine J. Morrison Paul & Mahmut Yasar, 2009. "Outsourcing, productivity, and input composition at the plant level," Canadian Journal of Economics, Canadian Economics Association, vol. 42(2), pages 422-439, May.
    9. , David, 2016. "The formation of networks with local spillovers and limited observability," Theoretical Economics, Econometric Society, vol. 11(3), September.
    10. Kuhn, Michael & Minniti, Antonio & Prettner, Klaus & Venturini, Francesco, 2023. "Medical innovation, life expectancy, and economic growth," Department of Economics Working Paper Series 342, WU Vienna University of Economics and Business.
    11. Jesus Maria Irigoyen & Josefa Monteagudo & Alexander Rutkowski, 2012. "A closer look at some drivers of trade performance at Member State level," Quarterly Report on the Euro Area (QREA), Directorate General Economic and Financial Affairs (DG ECFIN), European Commission, vol. 11(2), pages 29-39, July.
    12. Ugur, Mehmet & Churchill, Sefa Awaworyi & Luong, Hoang M., 2020. "What do we know about R&D spillovers and productivity? Meta-analysis evidence on heterogeneity and statistical power," Research Policy, Elsevier, vol. 49(1).
    13. Hailin Liao & Xiaohui Liu & Mark Holmes & Tom Weyman‐Jones, 2009. "The Impact Of Foreign R&D On Total Factor Productivity In The East Asian Manufacturing Industry," Manchester School, University of Manchester, vol. 77(2), pages 244-270, March.
    14. Xiaoyong Qiao & Xingyao Li & Xin Ling & Rui Xue & Claude Baron & Xiaoxuan Xin, 2023. "Value-Added Trade, Trade Barriers, and International Technology Spillover—Evidence from China’s Manufacturing Industry," Advances in Management and Applied Economics, SCIENPRESS Ltd, vol. 13(2), pages 1-6.
    15. Kafouros, Mario I. & Buckley, Peter J., 2008. "Under what conditions do firms benefit from the research efforts of other organizations?," Research Policy, Elsevier, vol. 37(2), pages 225-239, March.
    16. Francesca D'Auria & Jesus Maria Irigoyen & Josefa Monteagudo & Plamen Nikolov & Alexander Rutkowski & Michael Sket & Ann-Louise Winther, . "Quarterly Report on the Euro Area (QREA), Vol.11, No.2 (2012)," Quarterly Report on the Euro Area (QREA), Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    17. Franco, Chiara & Montresor, Sandro & Vittucci Marzetti, Giuseppe, 2011. "On indirect trade-related R&D spillovers: The "Average Propagation Length" of foreign R&D," Structural Change and Economic Dynamics, Elsevier, vol. 22(3), pages 227-237, September.
    18. Kang, Byeongwoo, 2016. "What best transfers knowledge? Capital, goods, and labor in East Asia," Economics Letters, Elsevier, vol. 139(C), pages 69-71.
    19. Hala Abou-Ali & Mohammed Belhaj, 2008. "Cost Benefit Analysis of Desert Locusts Control: A Multicountry Perspective," Working Papers 801, Economic Research Forum, revised 01 Jan 2008.
    20. Kang, Byeongwoo, 2015. "What best transfers knowledge? : capital, goods, and innovative labor in East Asia," IDE Discussion Papers 538, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    21. Venturini, Francesco, 2015. "The modern drivers of productivity," Research Policy, Elsevier, vol. 44(2), pages 357-369.

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    JEL classification:

    • F20 - International Economics - - International Factor Movements and International Business - - - General
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • D62 - Microeconomics - - Welfare Economics - - - Externalities

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