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International technology diffusion through imports and its impact on economic growth

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  • Jorge Crespo
  • Carmela Martin
  • Francisco Javier Velázquez

Abstract

This paper provides new evidence on the importance of international technology spillovers channelled by imports and its impact on economic TFP growth of the OECD countries. For this purpose we estimate a version of the growth model with endogenous technological change used in Benhabib and Spiegel (1994), which includes some modifications in order to capture the differences in the degree of success that countries have in benefiting from foreign technology spillovers. Our results suggest that domestic R&D and human capital stocks are critical for successful technology diffusion from abroad.

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  • Jorge Crespo & Carmela Martin & Francisco Javier Velázquez, 2002. "International technology diffusion through imports and its impact on economic growth," European Economy Group Working Papers 12, European Economy Group.
    • Handle: RePEc:eeg:euroeg:12
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    2. López-Pueyo, Carmen & Barcenilla-Visús, Sara & Sanaú, Jaime, 2008. "International R&D spillovers and manufacturing productivity: A panel data analysis," Structural Change and Economic Dynamics, Elsevier, vol. 19(2), pages 152-172, June.
    3. Jiyong Chen & Wei Liu & Yibo Zhang & Yangyi Sheng, 2010. "An empirical study on FDI international knowledge spillovers and regional economic development in China," Frontiers of Economics in China, Springer;Higher Education Press, vol. 5(3), pages 489-508, September.
    4. Adriana Peluffo & Dayna Zaclicever, 2013. "Imported Intermediates and Productivity: Does Absorptive Capacity Matter? A Firm-Level Analysis for Uruguay," Documentos de Trabajo (working papers) 0613, Department of Economics - dECON.
    5. Brita Bye & Taran Fæhn & Leo A. Grünfeld, 2008. "Growth policy in a small, open economy. Domestic innovation and learning from abroad," Discussion Papers 572, Statistics Norway, Research Department.
    6. Fabien Rondeau, 2007. "Pattern of trade and European economic integration," Applied Economics Letters, Taylor & Francis Journals, vol. 14(14), pages 1013-1018.
    7. Maite Alguacil & Andrea Éltetó & Valeriano Martínez–San Román, 2015. "International R&D spillovers in Central and Eastern Europe. The role of capital imports and local conditions," Working Papers 2015/12, Economics Department, Universitat Jaume I, Castellón (Spain).
    8. Sourafel Girma, 2005. "Absorptive Capacity and Productivity Spillovers from FDI: A Threshold Regression Analysis," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 67(3), pages 281-306, June.
    9. Greenaway, David & Foster, Neil, 2002. "North-South Trade, Knowledge Spillovers and Growth," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 17, pages 650-670.
    10. Aurora A.C. Teixeira & Natércia Fortuna, 2006. "Human capital, trade and long-run productivity. Testing the technological absorption hypothesis for the Portuguese economy, 1960-2001," FEP Working Papers 226, Universidade do Porto, Faculdade de Economia do Porto.
    11. Jaime Turrion & Carmela Martin, 2003. "Eastern Enlargement of the European Union and Foreign Direct Investment Adjustments," European Economy Group Working Papers 24, European Economy Group.
    12. Jose L. Groizard, 2003. "Technology Trade, Productivity and Growth," DEA Working Papers 4, Universitat de les Illes Balears, Departament d'Economía Aplicada.
    13. Guisan, Maria-Carmen & Exposito, Pilar, 2004. "The Impact of Industry and Foreign Trade on Economic Growth in China. An Inter-Sectoral Econometric Model, 1976-2002," Economic Development 76, University of Santiago de Compostela. Faculty of Economics and Business. Econometrics..
    14. Jorge Crespo & Francisco Javier Velázquez, 2003. "Multinationals and diffrsion of technology Between developed countries," European Economy Group Working Papers 26, European Economy Group.
    15. 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.
    16. Pablo Blanchard & Adriana Peluffo & Dayna Zaclicever, 2019. "Revisando el rol de los productos intermedios importados en la productividad: un análisis a nivel de empresa para Uruguay," Documentos de Trabajo (working papers) 19-03, Instituto de Economía - IECON.

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