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Learning and Foreign Technology Spillover in Thailand: Empirical Evidence on Productivity Dynamics

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  • Jørn Rattsø
  • Hildegunn Ekroll Stokke

Abstract

Thailand has experienced annual average growth of GDP of remarkable 6.6% during the period 1950 – 2000. We analyze total factor productivity (TFP) growth in a modified Nelson-Phelps framework where foreign trade and foreign direct investment influence the adoption of technology. The econometric analysis separating between sources of productivity for agriculture and industry covers the period 1975 – 96. International spillovers are significant and important, and both sectors have been able to take benefit of openness. The analysis addresses the endogeneity issues involved in the estimation of TFP sources and investigates the dynamics of productivity. The effects during the period studied must be interpreted as transition growth, and endogenous growth effects are rejected.

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Bibliographic Info

Article provided by Nordic Journal of Political Economy in its journal Nordic Journal of Political Economy.

Volume (Year): 29 (2003)
Issue (Month): ()
Pages: 47-66

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Handle: RePEc:noj:journl:v:29:y:2003:p:47-66

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  1. Alwyn Young, 1991. "Learning by Doing and the Dynamic Effects of International Trade," NBER Working Papers 3577, National Bureau of Economic Research, Inc.
  2. Kiminori Matsuyama, 1990. "Agricultural Productivity, Comparative Advantage, and Economic Growth," Discussion Papers 934, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
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  10. repec:fth:stanho:e-92-3 is not listed on IDEAS
  11. Parente, Stephen L & Prescott, Edward C, 1994. "Barriers to Technology Adoption and Development," Journal of Political Economy, University of Chicago Press, vol. 102(2), pages 298-321, April.
  12. J�rn Ratts� & Ragnar Torvik, 2003. "Interactions between Agriculture and Industry: Theoretical Analysis of the Consequences of Discriminating Agriculture in Sub-Saharan Africa," Review of Development Economics, Wiley Blackwell, vol. 7(1), pages 138-151, February.
  13. Krugman, Paul, 1987. "The narrow moving band, the Dutch disease, and the competitive consequences of Mrs. Thatcher : Notes on trade in the presence of dynamic scale economies," Journal of Development Economics, Elsevier, vol. 27(1-2), pages 41-55, October.
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  17. Mary Hallward-Driemeier & Giuseppe Iarossi & Kenneth L. Sokoloff, 2002. "Exports and Manufacturing Productivity in East Asia: A Comparative Analysis with Firm-Level Data," NBER Working Papers 8894, National Bureau of Economic Research, Inc.
  18. Diao, Xinshen & Rattsø, Jørn & Stokke, Hildegunn Ekroll, 2002. "International spillovers, productivity growth and openness in Thailand," TMD discussion papers 89, International Food Policy Research Institute (IFPRI).
  19. By Gunnar Jonsson & Arvind Subramanian, 2001. "Dynamic Gains from Trade: Evidence from South Africa," IMF Staff Papers, Palgrave Macmillan, vol. 48(1), pages 8.
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Cited by:
  1. Anagaw Derseh Mebratie & Peter A. G. van Bergeijk, 2013. "Firm heterogeneity and development: A meta-analysis of FDI productivity spillovers," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 22(1), pages 52-70, February.
  2. Jørn Rattsø & Torfinn Harding, 2009. "Industrial labor productivities and tariffs in South Africa: Identification based on multilateral liberalization reform," Working Paper Series 10309, Department of Economics, Norwegian University of Science and Technology.
  3. Anagaw Derseh Mebratie & Arjun S. Bedi, 2013. "Foreign direct investment, black economic empowerment and labour productivity in South Africa," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 22(1), pages 94-115, February.

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