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Technological knowledge, spillover and productivity: evidence from Taiwanese firm level panel data

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  • Jong-Rong Chen
  • Chih-Hai Yang

Abstract

Using a panel data on Taiwanese manufacturing firms from 1990-1997, this study investigates the relationship among technological knowledge, spillover and productivity. In addition to R&D stock, we also employ patent counts to construct the output-side indicators of knowledge and spillover to explore the relationship between knowledge and productivity. We find a very significant contribution of R&D, patents and spillover stock to productivity. In addition, the magnitude of the patent stock coefficient is substantially larger than that estimated by R&D stock. Our results imply that innovative activity investment has been very productive in increasing output for Taiwanese manufacturing firms in the 1990s.

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  • Jong-Rong Chen & Chih-Hai Yang, 2005. "Technological knowledge, spillover and productivity: evidence from Taiwanese firm level panel data," Applied Economics, Taylor & Francis Journals, vol. 37(20), pages 2361-2371.
    • Handle: RePEc:taf:applec:v:37:y:2005:i:20:p:2361-2371
    DOI: 10.1080/00036840500309262
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    Cited by:

    1. Liu, Ting-Kun & Chen, Jong-Rong & Huang, Cliff C.J. & Yang, Chih-Hai, 2013. "E-commerce, R&D, and productivity: Firm-level evidence from Taiwan," Information Economics and Policy, Elsevier, vol. 25(4), pages 272-283.
    2. Galdeano-Gómez, Emilio & Céspedes-Lorente, José, 2008. "Environmental spillover effects on firm productivity and efficiency: An analysis of agri-food business in Southeast Spain," Ecological Economics, Elsevier, vol. 67(1), pages 131-139, August.
    3. Pedro de Faria & Francisco Lima, 2012. "Interdependence and spillovers: is firm performance affected by others’ innovation activities?," Applied Economics, Taylor & Francis Journals, vol. 44(36), pages 4765-4775, December.
    4. Yagi, Michiyuki & Managi, Shunsuke, 2018. "Shadow price of patent stock as knowledge stock: Time and country heterogeneity," Economic Analysis and Policy, Elsevier, vol. 60(C), pages 43-61.
    5. Cassia, Lucio & Colombelli, Alessandra & Paleari, Stefano, 2009. "Firms' growth: Does the innovation system matter?," Structural Change and Economic Dynamics, Elsevier, vol. 20(3), pages 211-220, September.
    6. Sukhdeep Singh, 2022. "R&D Spillovers and Product Market Competition," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 20(2), pages 379-399, June.
    7. Zhu, Facang & Shi, Qiule & Balezentis, Tomas & Zhang, Chonghui, 2023. "The impact of e-commerce and R&D on firm-level production in China: Evidence from manufacturing sector," Structural Change and Economic Dynamics, Elsevier, vol. 65(C), pages 101-110.
    8. Yang, Chih-Hai, 2006. "Is innovation the story of Taiwan's economic growth?," Journal of Asian Economics, Elsevier, vol. 17(5), pages 867-878, November.
    9. Ejike Udeogu (a) , Uzochukwu Amakom (b) and Shampa Roy-Mukherjee (a), 2021. "Empirical Analysis of an Augmented Schumpeterian Endogenous Growth Model," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 46(1), pages 53-84, March.

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