Economic determinants of technological progress in G7 countries: A re-examination
AbstractThis study examines the relationship between technological change and a series of key macroeconomic variables in G7 countries. Basically, we find that the rate of interest has a negative impact on the pace of innovation, while investments in the R&D sector, high-technology exports, as well as net FDI inflows enhance technological change. The most surprising result of our analysis concerns the openness to trade ratio. Contrary to theoretical expectations and the findings of previous empirical studies, we were unable to find a positive or negative significant relationship between openness to trade and the rate of innovation in this study.
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Bibliographic InfoArticle provided by Elsevier in its journal Economics Letters.
Volume (Year): 116 (2012)
Issue (Month): 3 ()
Contact details of provider:
Web page: http://www.elsevier.com/locate/ecolet
Technological change; Openness to trade; Triadic patent counts; Panel Poisson regression;
Find related papers by JEL classification:
- O31 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
- O33 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
- C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
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