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Canadian Manufacturing, U.S. R&D Spillovers, And Communication Infrastructure

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Jeffrey I. Bernstein

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Abstract

Canada is highly integrated with the U.S. economy. This north-south link, coupled with its east-west dimension, also renders Canadian production dependent on communication infrastructure. We investigate the influence of research and development (R&D) spillovers from U.S. manufacturing and Canadian communication infrastructure on Canadian manufacturing. Canadian production becomes relatively more R&D-intensive from communication spillovers. However, manufacturers substitute knowledge from U.S. spillovers for domestic R&D. U.S. spillovers cause production to become more plant- and equipment-intensive. Spillovers also enhance productivity. Communication infrastructure accounted for 8.5% of the growth, with the major source emanating from U.S. spillovers. They contributed 76% of the gains. © 2000 by the President and Fellows of Harvard College and the Massachusetts Institute of Technolog

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Publisher Info
Article provided by MIT Press in its journal The Review of Economics and Statistics.

Volume (Year): 82 (2000)
Issue (Month): 4 (November)
Pages: 608-615
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Handle: RePEc:tpr:restat:v:82:y:2000:i:4:p:608-615

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  1. Sung-Bae Mun & M. Ishaq Nadiri, 2002. "Information Technology Externalities: Empirical Evidence from 42 U.S. Industries," NBER Working Papers 9272, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  2. Mun, S-B. & Nadiri, M.I., 2002. "Information Technology Externalities: Empirical Evidence from 42 U.S. Industries," Working Papers 02-03, C.V. Starr Center for Applied Economics, New York University. [Downloadable!]
  3. Hyeog Ug Kwon, 2004. "Productivity growth and R&D spillovers in Japanese manufacturing industry," Hi-Stat Discussion Paper Series d03-16, Institute of Economic Research, Hitotsubashi University. [Downloadable!]
  4. Maurizio Ciaschini & Rosita Pretaroli & Claudio Socci, 2007. "A convenient multi sectoral policy control for ICT in the USA economy," Working Papers 11-2007, Macerata University, Department of Studies on Economic Development (DiSSE), revised Mar 2009.
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