IDEAS home Printed from https://ideas.repec.org/p/nbr/nberwo/30590.html
   My bibliography  Save this paper

Global Knowledge and Trade Flows: Theory and Measurement

Author

Listed:
  • Nelson Lind
  • Natalia Ramondo

Abstract

We study the global innovation and diffusion of ideas by introducing trade into the model in Eaton and Kortum (1999) (EK). This extension allows us to use international trade flows and country-level factor costs to estimate both the intensity of innovation within countries over time and diffusion rates across countries. We find significant specialization across the globe: some countries have high innovation rates, while other countries rely on diffusion. Although innovation is correlated with economic growth, there are many high income countries that primarily produce using diffused ideas. Additionally, these patterns shift over time — we estimate that a wave of innovation began in China during the early-2000’s, reducing its reliance on diffused technology.

Suggested Citation

  • Nelson Lind & Natalia Ramondo, 2022. "Global Knowledge and Trade Flows: Theory and Measurement," NBER Working Papers 30590, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:30590
    Note: EFG ITI
    as

    Download full text from publisher

    File URL: http://www.nber.org/papers/w30590.pdf
    Download Restriction: no
    ---><---

    More about this item

    JEL classification:

    • F1 - International Economics - - Trade
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nbr:nberwo:30590. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: the person in charge (email available below). General contact details of provider: https://edirc.repec.org/data/nberrus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.