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Why has China grown so fast? The role of international technology transfer

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  • Linda Yueh
  • Linda Yueh
  • John Van Reenen

Abstract

Chinese economic growth has been spectacular in the last 30 years.� We investigate the role of International Joint Ventures with Technology Transfer agreements, an understudied area.� Technology transfer is the traditional mechanism for developing countries to "catch up" and has been a key component of Chinese economic policy.� We collect original survey data on Chinese firms and their joint ventures and match this to administrative data on firm performance.� To identify the causal effect of joint ventures we use time-varying and province-specific policies at the time when a firm was born.� International joint ventures in general and I have large effects on productivity especially when combined with a technology transfer component.� We estimate that without International joint ventures China's growth would have been about one percentage point lower per annum over the last three decades.

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Paper provided by University of Oxford, Department of Economics in its series Economics Series Working Papers with number 592.

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Date of creation: 01 Jan 2012
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Handle: RePEc:oxf:wpaper:592

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Keywords: China; Technology transfer; Joint ventures; Productivity;

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  1. Alfred D. Chandler, 1969. "Strategy and Structure: Chapters in the History of the American Industrial Enterprise," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262530090, December.
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