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North-South Trade, Knowledge Spillovers and Growth

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Author Info

  • Greenaway, David

    ()
    (University of Nottingham)

  • Foster, Neil

    (University of Vienna)

Abstract

The endogenous growth literature has stimulated empirical research into links between trade and growth in general and international knowledge spillovers in particular. Results relating to the latter have been mixed and the issue of the appropriate construction of the spillover variable remains contentious. In this paper we develop measures taking account of whether knowledge is a public or private good in the donor and recipient countries, and include these in a dynamic panel model of growth. For a sample of five OECD donor countries and 52 developing recipient countries, we conclude that it matters little whether we treat knowledge as a private or public good in the donor but that spillovers, if they exist, act as a public good in the recipient. We also find that the level of trade is important in facilitating knowledge spillovers from donors to recipients.

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Bibliographic Info

Article provided by Center for Economic Integration, Sejong University in its journal Journal of Economic Integration.

Volume (Year): 17 (2002)
Issue (Month): ()
Pages: 650-670

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Handle: RePEc:ris:integr:0213

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Web page: http://econo.sejong.ac.kr/
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Keywords: Knowledge Spillovers; Economic Growth; International Trade; Dynamic Panel Data;

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Cited by:
  1. Greenaway, David & Foster, Neil, 2002. "North-South Trade, Knowledge Spillovers and Growth," Journal of Economic Integration, Center for Economic Integration, Sejong University, vol. 17, pages 650-670.
  2. Ansgar Belke & Lars Wang, 2005. "The Degree of Openness to Intra-Regional Trade - Towards Value-Added Based Openness Measures," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim 257/2005, Department of Economics, University of Hohenheim, Germany.
  3. Sourafel Girma, 2005. "Absorptive Capacity and Productivity Spillovers from FDI: A Threshold Regression Analysis," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 67(3), pages 281-306, 06.
  4. Schiff, Maurice & Wang, Yanling, 2008. "North-South Technology Spillovers: The Relative Impact of Openness and Foreign R&D," IZA Discussion Papers 3383, Institute for the Study of Labor (IZA).
  5. Jaime Turrion & Carmela Martin, 2003. "Eastern Enlargement of the European Union and Foreign Direct Investment Adjustments," European Economy Group Working Papers 24, European Economy Group.
  6. Samuel Nursamsu & Fithra Faisal Hastiadi, 2013. "Analysis of International R&D Spillover from International Trade and Foreign Direct Investment Channel: Evidence from Asian Newly Industrialized Countries," Working Papers in Economics and Business 201310, Faculty of Economics, University of Indonesia, revised Sep 2013.
  7. Eicher, Theo & García-Peñalosa, Cecilia, 2008. "Endogenous strength of intellectual property rights: Implications for economic development and growth," European Economic Review, Elsevier, vol. 52(2), pages 237-258, February.
  8. World Bank, 2012. "Kazakhstan : Assessment of Costs and Benefits of the Customs," World Bank Other Operational Studies 12299, The World Bank.
  9. Jorge Crespo & Carmela Martín & Francisco J. Velázquez, 2004. "International technology spillovers from trade: the importance of the technological gap," Investigaciones Economicas, Fundación SEPI, vol. 28(3), pages 515-533, September.
  10. Schiff, Maurice & Wang, Yanling, 2004. "On the quantity and quality of knowledge - the impact of openness and foreign research and development on North-North and North-South technology spillovers," Policy Research Working Paper Series 3190, The World Bank.
  11. Adriana Peluffo, 2011. "Integración regional y difusión de tecnología: el caso uruguayo," Documentos de Trabajo (working papers) 11-10, Instituto de Economía - IECON.
  12. Erdal Atukeren, 2005. "R&D Races and Spillovers between the EU and the US: Some Causal Evidence," KOF Working papers 05-105, KOF Swiss Economic Institute, ETH Zurich.
  13. World Bank, 2012. "Assessment of Costs and Benefits of the Customs Union for Kazakhstan," World Bank Other Operational Studies 2722, The World Bank.

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