Absorptive Capacity and Frontier Technology: Evidence from OECD Manufacturing Industries
AbstractThis paper investigates whether differences in absorptive capacity help to explain cross-country differences in the level of productivity. We utilise stochastic frontier analysis to investigate two potential sources of this inefficiency: differences in human capital and R&D for nine industries in twelve OECD countries over the period 1973-92. We find that inefficiency in production does indeed exist and it depends upon the level of human capital of the countryÕs workforce.Evidence that the amount of R&D an industry undertakes is also important is less robust. Classification- JEL: O3, O4
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Bibliographic InfoPaper provided by Royal Economic Society in its series Royal Economic Society Annual Conference 2003 with number 193.
Date of creation: 04 Jun 2003
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absorptive capacity; human capital; R&D; SFA;
Other versions of this item:
- Richard Kneller & Philip Andrew Stevens, 2002. "Absorptive Capacity and Frontier Technology: Evidence from OECD Manufacturing Industries," NIESR Discussion Papers 202, National Institute of Economic and Social Research.
- O3 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights
- O4 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
This paper has been announced in the following NEP Reports:
- NEP-ALL-2003-06-16 (All new papers)
- NEP-DEV-2003-06-16 (Development)
- NEP-EEC-2003-06-16 (European Economics)
- NEP-INO-2003-06-16 (Innovation)
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- Kneller, Richard & Andrew Stevens, Philip, 2003. "The specification of the aggregate production function in the presence of inefficiency," Economics Letters, Elsevier, vol. 81(2), pages 223-226, November.
- Szirmai, Adam & Van Dijk, Michiel, 2007. "The Micro-Dynamics of Catch Up in Indonesian Paper Manufacturing: An International Comparison of Plant-Level Performance," UNU-MERIT Working Paper Series 010, United Nations University, Maastricht Economic and social Research and training centre on Innovation and Technology.
- Ahmed, Elsadig Musa, 2012. "Are the FDI inflow spillover effects on Malaysia's economic growth input driven?," Economic Modelling, Elsevier, vol. 29(4), pages 1498-1504.
- Michiel Van Dijk & Adam Szirmai, 2005. "Catch Up at the Micro-Level: Evidence from an Industry Case Study Using Manufacturing Census Data," DEGIT Conference Papers c010_038, DEGIT, Dynamics, Economic Growth, and International Trade.
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- Alicia N. Rambaldi & Kam Ki Tang & G. Iyer Krishnai, 2004. "Measuring Spillovers from Alternative Forms of Foreign Investment," CEPA Working Papers Series WP012004, School of Economics, University of Queensland, Australia.
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