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Technology and Finance

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  • Anna Ilyina
  • Roberto M. Samaniego

Abstract

The benefits from financial development are known to vary across industries. However, no systematic effort has been made to determine the technological characteristics that are shared by industries that tend to grow relatively faster in more financially developed countries. This paper explores a range of technological characteristics that might underpin differences across industries in the need or the ability to raise external funding. The main finding is that industries that grow faster in more financially developed countries tend to display greater R&D intensity or investment lumpiness, indicating that well-functioning financial markets direct resources towards industries that grow by performing R&D.

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Bibliographic Info

Paper provided by International Monetary Fund in its series IMF Working Papers with number 08/182.

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Length: 42
Date of creation: 01 Jul 2008
Date of revision:
Handle: RePEc:imf:imfwpa:08/182

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Keywords: Technology transfer; Industrial investment; Investment policy; Production growth; r & d; correlations; r & d intensity; standard errors; correlation; r & d intensive industries; r & d-intensive industries; equation; instrumental variables; r & d activity; estimation of equation; regression equation; standard deviation; survey; general equilibrium models; instrumental variable; statistical significance; statistics; financial statistics; research departments; role of r & d; research & development; research activity; outlier; surveys; equations; dummy variables; r & d investments; absorptive capacity; r & d expenditures; consistent estimator; cross-country variation; predictions;

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References

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Citations

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Cited by:
  1. Francesco Venturini, 2011. "Looking into the black box of Schumpeterian Growth Theories: an empirical assessment of R&D races," Quaderni del Dipartimento di Economia, Finanza e Statistica, Università di Perugia, Dipartimento Economia, Finanza e Statistica 94/2011, Università di Perugia, Dipartimento Economia, Finanza e Statistica.
  2. Maria Cipollina & Giorgia Giovannetti & Filomena Pietrovito & Alberto F. Pozzolo, 2012. "FDI and Growth: What Cross-country Industry Data Say," The World Economy, Wiley Blackwell, Wiley Blackwell, vol. 35(11), pages 1599-1629, November.
  3. Rachel Ngai & Roberto Samaniego, 2011. "Accounting for Research and Productivity Growth Across Industries," Review of Economic Dynamics, Elsevier for the Society for Economic Dynamics, vol. 14(3), pages 475-495, July.
  4. L. Rachel Ngai & Roberto M. Samaniego, 2008. "Research and Productivity Growth Across Industries," LSE Research Online Documents on Economics, London School of Economics and Political Science, LSE Library 4410, London School of Economics and Political Science, LSE Library.
  5. Toni Beutler & Mathieu Grobéty, 2011. "The Collateral Channel under Imperfect Debt Enforcement," Working Papers 11.11, Swiss National Bank, Study Center Gerzensee.
  6. Francisco Gallego & José Tessada, 2010. "Sudden Stops, Financial Frictions, and Labor Market Flows: Evidence from Latin America," Documentos de Trabajo, Instituto de Economia. Pontificia Universidad Católica de Chile. 378, Instituto de Economia. Pontificia Universidad Católica de Chile..
  7. Yu Sun, 2011. "Recent Developments in European Bank Competition," IMF Working Papers 11/146, International Monetary Fund.
  8. Jan Bena & Peter Ondko, 2009. "Financial Development and Allocation of External Finance," CERGE-EI Working Papers wp398, The Center for Economic Research and Graduate Education - Economic Institute, Prague.
  9. Anna Ilyina & Roberto M. Samaniego, 2009. "A Multi-Industry Model of Growth with Financing Constraints," IMF Working Papers 09/119, International Monetary Fund.
  10. Samaniego, Roberto, 2009. "Financing Creative Destruction," MPRA Paper 22348, University Library of Munich, Germany.
  11. Roberto M. Samaniego, 2010. "Entry, Exit, and Investment-Specific Technical Change," American Economic Review, American Economic Association, American Economic Association, vol. 100(1), pages 164-92, March.

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