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Value-added in high technology and industrial basic research: a weighted network observing the trade of high-tech goods

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  • Antonio Zinilli
  • Mario De Marchi

Abstract

Expenditure on research and development (R%D) is a key indicator of the innovative efforts of countries. In this paper, we want to examine through a new approach the relationship between basic research and economic benefits. Although we are aware that the topic has already been extensively addressed, this paper differs from the previous literature because it focuses on value-added trade instead of gross trade flows. We use an exponential random graph model for weighted networks to study the impact of private investment in basic research on value-added of exports in high technology, namely the domestic value-added absorbed abroad. We want to understand if this measure (without intermediate imports) is able to confirm the results of the previous literature, which used gross flows. Our results show that private investment in basic research has a positive influence on exports, giving a competitive advantage in international trade.

Suggested Citation

  • Antonio Zinilli & Mario De Marchi, 2020. "Value-added in high technology and industrial basic research: a weighted network observing the trade of high-tech goods," International Journal of Computational Economics and Econometrics, Inderscience Enterprises Ltd, vol. 10(4), pages 398-418.
    • Handle: RePEc:ids:ijcome:v:10:y:2020:i:4:p:398-418
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    Cited by:

    1. Andrea Filippetti & Antonio Zinilli, 2023. "The innovation networks of city-regions in Europe: exclusive clubs or inclusive hubs?," Working Papers 63, Birkbeck Centre for Innovation Management Research, revised 08 Feb 2023.
    2. Ismat Nasim & Mohamed Boukhris & Umar Nawaz Kayani & Farrukh Bashir & Syed Arslan Haider, 2023. "Exploring the Links between Renewable Energy, FDI, Environmental Degradation, and International Trade in Selected Developing Countries," International Journal of Energy Economics and Policy, Econjournals, vol. 13(6), pages 418-429, November.

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