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Trade, Human Capital, and Technology Spillovers: an Industry-level Analysis

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  • Yanling Wang
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    Abstract

    This paper studies whether trade promotes North-South and South-South technology spillovers at the industry level, and how the absorptive capacity of the South affects the impact of the technology spillovers. Using data from 16 manufacturing industries in 25 developing countries from 1976 to 1998, the paper shows: (i) North-South trade-related R&D has a substantial impact on total factor productivity in the South; (ii) South-South trade-related R&D also promotes technology spillovers but with a smaller magnitude; and (iii) human capital is very important in facilitating North-South and South-South technology spillovers: an increase in human capital could lead to over three times the size of technology spillovers from an increase in trade-related foreign R&D. Copyright � 2007 The Author; Journal compilation � 2007 Blackwell Publishing Ltd.

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    Bibliographic Info

    Article provided by Wiley Blackwell in its journal Review of International Economics.

    Volume (Year): 15 (2007)
    Issue (Month): 2 (05)
    Pages: 269-283

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    Handle: RePEc:bla:reviec:v:15:y:2007:i:2:p:269-283

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    Cited by:
    1. Johannes Pöschl & Neil Foster, 2013. "Productivity Effects of Knowledge Transfers through Labour Mobility," FIW Working Paper series, FIW 117, FIW.
    2. Nadia Belhaj Hassine & Véronique Robichaud & Bernard Decaluwé, 2010. "Agricultural Trade Liberalization, Productivity Gain and Poverty Alleviation: a General Equilibrium Analysis," Cahiers de recherche, CIRPEE 1022, CIRPEE.
    3. Richard Perkins & Eric Neumayer, 2012. "Do recipient country characteristics affect international spillovers of CO 2-efficiency via trade and foreign direct investment?," Climatic Change, Springer, Springer, vol. 112(2), pages 469-491, May.
    4. repec:ial:wpaper:4 is not listed on IDEAS
    5. Richard Perkins & Eric Neumayer, 2009. "How do domestic attributes affect international spillovers of CO2-efficiency?," Grantham Research Institute on Climate Change and the Environment Working Papers, Grantham Research Institute on Climate Change and the Environment 8, Grantham Research Institute on Climate Change and the Environment.
    6. Colantonio Emiliano & D'Angelo Francesca & Odoardi Iacopo & Scamuffa Domenico, 2010. "Internationalization And Innovation: The Challenges For Europe In A Changing World," Annals of Faculty of Economics, University of Oradea, Faculty of Economics, University of Oradea, Faculty of Economics, vol. 1(2), pages 214-219, December.
    7. Letizia Montinari & Michael Rochlitz, 2012. "Absorptive Capacity and Efficiency: A Comparative Stochastic Frontier Approach Using Sectoral Data," Working Papers, IMT Institute for Advanced Studies Lucca 4/2012, IMT Institute for Advanced Studies Lucca, revised Jun 2012.

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