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International Knowledge Diffusion and the Comparative Advantage of Nations

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  • Bahar, Dany

    (Harvard University)

  • Hausmann, Ricardo

    (Harvard University)

  • Hidalgo, Cesar A.

    (MIT and Harvard University)

Abstract

In this paper we document that the probability that a product is added to a country's export basket is, on average, 65% larger if a neighboring country is a successful exporter of that same product. We interpret our result as evidence of international intra-industry knowledge diffusion. Our results are consistent with the overall consensus in the literature on technology spillovers: diffusion is stronger at shorter distances; is weaker for more knowledge-intensive products; and has become faster over time.

Suggested Citation

  • Bahar, Dany & Hausmann, Ricardo & Hidalgo, Cesar A., 2012. "International Knowledge Diffusion and the Comparative Advantage of Nations," Working Paper Series rwp12-020, Harvard University, John F. Kennedy School of Government.
    • Handle: RePEc:ecl:harjfk:rwp12-020
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    Cited by:

    1. Gathani Sachin & Stoelinga Dimitri, 2013. "Export Similarity Networks and Proximity Control Methods for Comparative Case Studies," Journal of Globalization and Development, De Gruyter, vol. 3(2), pages 1-39, March.
    2. Ron Boschma & Gianluca Capone, 2014. "Relatedness and Diversification in the EU-27 and ENP countries," Papers in Evolutionary Economic Geography (PEEG) 1407, Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography, revised Feb 2014.
    3. Osorio Rodarte Israel & Lofgren Hans, 2016. "Product Space Perspective on Structural Change in Morocco," Review of Middle East Economics and Finance, De Gruyter, vol. 12(2), pages 175-200, August.
    4. Timothy J. Garrett, 2013. "Thermodynamics of long-run economic innovation and growth," Papers 1306.3554, arXiv.org.

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