This study moves along the recent research path started by Coe and Helpman (1995) which aims at unravelling the mechanics of spillovers in the economic growth of nations. Unlike many previous studies, which are mainly cross-sectional, our analysis focuses on the experience of Italy. The time-series analysis 1963-1995 shows that the Italian economic growth has been critically influenced by external technology funnelled by imports of investment goods. Moreover, empirical evidence suggests that Italian growth has been and still is more related to external rather than internal spillovers; moreover, the extent of external spillovers has shown some relevant changes throughout the years: aggregate (but not industrial) spillovers have slowed down since the eighties.
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Paper provided by Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia in its series Working Paper CRENoS with number
199806.
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