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North-South and South-South Trade-Related Technology Diffusion: An Industry Level Analysis

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  • Schiff, Maurice
  • Olarreaga, Marcelo
  • Wang, Yanling

Abstract

This Paper examines the impact on TFP of North-South and South-South trade-related R&D spillovers. It is the first, as far as we know, to do so at the industry level for developing countries. North-South and South-South R&D flows are constructed based on industry-specific R&D in the North, North-South and South-South trade patterns, and input-output relations in the South. The main findings are: i) North-South and South-South R&D flows have a positive impact on TFP, though the former is larger; and ii) R&D-intensive industries benefit mainly from North-South R&D flows while low R&D-intensity industries benefit mainly from South-South R&D flows. These results have implications for the productivity dynamics of North-South and South-South regional integration.

Suggested Citation

  • Schiff, Maurice & Olarreaga, Marcelo & Wang, Yanling, 2003. "North-South and South-South Trade-Related Technology Diffusion: An Industry Level Analysis," CEPR Discussion Papers 3711, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:3711
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    References listed on IDEAS

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    Cited by:

    1. Bernard M. Hoekman & Keith E. Maskus & Kamal Saggi, 2023. "Transfer of Technology to Developing Countries: Unilateral and Multilateral Policy Options," World Scientific Book Chapters, in: Kamal Saggi (ed.), Technology Transfer, Foreign Direct Investment, and the Protection of Intellectual Property in the Global Economy, chapter 5, pages 127-142, World Scientific Publishing Co. Pte. Ltd..
    2. Faundez, Sebastian & Mulder, Nanno & Carpentier, Nicole, 2011. "Productivity growth in Latin American manufacturing: what role for international trade intensities?," MPRA Paper 36507, University Library of Munich, Germany.
    3. Moore, Winston & Gomes, Charmaine & Alleyne, Dillon & Phillips, Willard, 2013. "An assessment of the economic and social impacts of climate change on the tourism sector in the Caribbean," Sede Subregional de la CEPAL para el Caribe (Estudios e Investigaciones) 38282, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    4. Bernard Hoekman, 2004. "Policies Facilitating Firm Adjustment to Globalization," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 20(3), pages 457-473, Autumn.
    5. Jesper Jensen & David Tarr, 2014. "Deep Trade Policy Options for Armenia: The Importance of Trade Facilitation, Services and Standards Liberalization," World Scientific Book Chapters, in: APPLIED TRADE POLICY MODELING IN 16 COUNTRIES Insights and Impacts from World Bank CGE Based Projects, chapter 19, pages 453-508, World Scientific Publishing Co. Pte. Ltd..
    6. Yongzheng Yang & Mr. Alvin Hilaire, 2003. "The United States and the New Regionalism/ Bilateralism," IMF Working Papers 2003/206, International Monetary Fund.
    7. Arjan Lejour & Richard Nahuis, 2005. "R&D Spillovers and Growth: Specialization Matters," Review of International Economics, Wiley Blackwell, vol. 13(5), pages 927-944, November.
    8. Maurice Schiff & Yanling Wang, 2003. "Nafta, Technology Diffusion and Productivity in Mexico," Latin American Journal of Economics-formerly Cuadernos de Economía, Instituto de Economía. Pontificia Universidad Católica de Chile., vol. 40(121), pages 469-476.
    9. Schiff,Maurice & Wang, Yanling, 2003. "Regional integration and technology diffusion : the case of the North America free trade agreement," Policy Research Working Paper Series 3132, The World Bank.

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    More about this item

    Keywords

    Technology diffusion; Trade; Developing countries;
    All these keywords.

    JEL classification:

    • F01 - International Economics - - General - - - Global Outlook

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