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Total Factor Productivity and R&D Capital in Manufacturing Industries

Author

Listed:
  • Jeong Yeon Lee

    (Graduate School of International Studies, Yonsei University)

  • Jung Woo Kim

    (Samsung Economic Research Insitute)

Abstract

This study analyzes total factor productivity in manufacturing industries for a sample of OECD countries. The estimates of Malmquist indexes clearly indicate that research and development (R&D) capital is an important determinant of productivity growth in manufacturing industries. The empirical results also show that it is the pace, not the intensity, of R&D investment that is significantly related to the extent to which R&D capital formation contributes to output growth. Furthermore, this study finds that productivity gains in manufacturing industries depend importantly on R&D spillovers as well.

Suggested Citation

  • Jeong Yeon Lee & Jung Woo Kim, 2006. "Total Factor Productivity and R&D Capital in Manufacturing Industries," Economics Study Area Working Papers 89, East-West Center, Economics Study Area.
    • Handle: RePEc:ewc:wpaper:wp89
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    References listed on IDEAS

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    7. Bart Verspagen, 1997. "Estimating international technology spillovers using technology flow matrices," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 133(2), pages 226-248, June.
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    Cited by:

    1. Musleh-ud Din & Ejaz Ghani & Tariq Mahmood, 2007. "Technical Efficiency of Pakistan s Manufacturing Sector: A Stochastic Frontier and Data Envelopment Analysis," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 46(1), pages 1-18.
    2. Tariq Mahmood & Ejaz Ghani & Musleh-Ud Din, 2006. "Efficiency of Large-scale Manufacturing in Pakistan: A Production Frontier Approach," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 45(4), pages 689-700.
    3. Tariq Mahmood & Ejaz Ghani & Musleh Ud Din, 2015. "Are Our Export-Oriented Industries Technically More Efficient?," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 54(2), pages 97-121.

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