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Spatial Patterns of Technology Diffusion: An Empirical Analysis using TFP

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Author Info

  • Maria Abreu

    ()
    (Faculty of Economics and Business Administration, Vrije Universiteit Amsterdam)

  • Henri L.F. de Groot

    ()
    (Faculty of Economics and Business Administration, Vrije Universiteit Amsterdam)

  • Raymond J.G.M. Florax

    ()
    (Faculty of Economics and Business Administration, Vrije Universiteit Amsterdam)

Abstract

In this paper we employ techniques developed in spatial econometrics to analyse spatial patterns of technology diffusion, to detect clusters and to estimate theoretical models that incorporate space explicitly. These techniques correct for misspecifications resulting from the omission of spatial linkages in standard empirical models of economic growth. Our dataset consists of TFP estimates for 73 countries over the period 1960-2000, and we find that TFP growth rates and levels are positively autocorrelated over space, meaning that high or low values tend to be clustered. We also find that TFP levels are becoming more clustered over time, suggesting the possibility that technology levels are converging locally. Estimation of spatial versions of the Nelson and Phelps (1966) model shows that the impact of being located close to a country with high TFP growth rates is positive and substantial.

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Bibliographic Info

Paper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 04-079/3.

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Date of creation: 12 Jul 2004
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Handle: RePEc:dgr:uvatin:20040079

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Web page: http://www.tinbergen.nl

Related research

Keywords: human capital; technology diffusion; spatial econometrics;

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References

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Citations

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Cited by:
  1. Martinho, Vítor João Pereira Domingues, 2011. "Analysis of spatial effects in vine crop across Portuguese regions," MPRA Paper 33200, University Library of Munich, Germany.
  2. Martinho, Vítor João Pereira Domingues, 2011. "A spatial model based on the endogenous growth theory for Portugal," MPRA Paper 33711, University Library of Munich, Germany.
  3. Martinho, Vítor João Pereira Domingues, 2011. "Spatial effects and convergence theory in the Portuguese situation," MPRA Paper 32185, University Library of Munich, Germany.
  4. Lin, C.-Y. Cynthia, 2010. "A Spatial Econometric Approach to Measuring Pollution Externalities: An Application to Ozone Smog," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 40(1).
  5. Vitor Joao Pereira Domingues Martinho, 2011. "Spatial Autocorrelation and Verdoorn Law in the Portuguese NUTs III," Papers 1110.5578, arXiv.org.
  6. Martinho, Vítor João Pereira Domingues, 2011. "A spatial model based on the endogenous growth theory for Portugal. Another approach," MPRA Paper 33713, University Library of Munich, Germany.
  7. Martinho, Vítor João Pereira Domingues, 2011. "A spatial model based on the endogenous growth theory for Portugal. Another analysis," MPRA Paper 33712, University Library of Munich, Germany.
  8. Roberto ESPOSTI, 2008. "Why Should Regional Agricultural Productivity Growth Converge? Evidence from Italian Regions," Working Papers 319, Universita' Politecnica delle Marche (I), Dipartimento di Scienze Economiche e Sociali.
  9. Vítor Martinho, 2011. "Spatial Effects in Convergence of Portuguese Product," Working Papers 79, globADVANTAGE, Polytechnic Institute of Leiria.
  10. Martinho, Vítor João Pereira Domingues, 2011. "Spatial effects and Verdoorn law in the Portuguese context," MPRA Paper 32183, University Library of Munich, Germany.
  11. Andrea Caragliu & Peter Nijkamp, 2008. "The Impact of Regional Absorptive Capacity on Spatial Knowledge Spillovers," Tinbergen Institute Discussion Papers 08-119/3, Tinbergen Institute.
  12. Martinho, Vítor João Pereira Domingues, 2011. "Analysis of spatial effects in vine and olive crops across Portuguese regions," MPRA Paper 33201, University Library of Munich, Germany.

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