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Technology and Trade

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  • Grossman, Gene
  • Helpman, Elhanan

Abstract

We review the literature on the links between technology and international trade. The older literature assumed exogenous technologies and focused on their effects on the structure of foreign trade and on welfare. Recently much of the effort has been on explaining technological change. As a result, we also describe the effects of foreign trade on technological change. We deal with technological change that results from learning by doing and from innovation, and we describe the relationship between each one of these forms of change in technology with international trade. Apart from integrating much of the recent literature on learning by doing, we show that there are important common themes and results in these two strands of the literature.

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Paper provided by C.E.P.R. Discussion Papers in its series CEPR Discussion Papers with number 1134.

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Date of creation: Feb 1995
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Handle: RePEc:cpr:ceprdp:1134

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Keywords: Growth; Technology; Trade;

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References

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  1. Brezis, Elise S & Krugman, Paul R & Tsiddon, Daniel, 1993. "Leapfrogging in International Competition: A Theory of Cycles in National Technological Leadership," American Economic Review, American Economic Association, vol. 83(5), pages 1211-19, December.
  2. Dinopoulos, Elias & Oehmke, James F. & Segerstrom, Paul S., 1993. "High-technology-industry trade and investment : The role of factor endowments," Journal of International Economics, Elsevier, vol. 34(1-2), pages 49-71, February.
  3. Antonio Ciccone & Kiminori Matsuyama, 1995. "Start-up costs and pecuniary externalities as barriers to economic development," Economics Working Papers 142, Department of Economics and Business, Universitat Pompeu Fabra.
  4. Dixit, Avinash K & Stiglitz, Joseph E, 1993. "Monopolistic Competition and Optimum Product Diversity: Reply," American Economic Review, American Economic Association, vol. 83(1), pages 302-04, March.
  5. Kenneth Arrow, 1962. "Economic Welfare and the Allocation of Resources for Invention," NBER Chapters, in: The Rate and Direction of Inventive Activity: Economic and Social Factors, pages 609-626 National Bureau of Economic Research, Inc.
  6. Deardorff, Alan V, 1992. "Welfare Effects of Global Patent Protection," Economica, London School of Economics and Political Science, vol. 59(233), pages 35-51, February.
  7. Jeffrey I. Bernstein & Pierre Mohnen, 1994. "International R & D Spillovers between U.S. and Japanese R & D intensive sectors," Cahiers de recherche du Département des sciences économiques, UQAM 9406, Université du Québec à Montréal, Département des sciences économiques.
  8. Davis, Donald R., 1995. "Intra-industry trade: A Heckscher-Ohlin-Ricardo approach," Journal of International Economics, Elsevier, vol. 39(3-4), pages 201-226, November.
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