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Technological Spillovers and Productivity in Italian Manufacturing Firms

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Author Info
Claudio A. Piga () (Dept of Economics, Loughborough University)
Giuseppe Medda () (DEIR, University of Sassari, Italy.)

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Abstract

We study whether a firm’s total factor productivity dynamics is positively influenced by its own R&D activity and by the technological spillovers generated at the intra- and inter-sectorial level. Our approach corrects simultaneously for the endogeneity and the selectivity biases introduced by the use of a firm’s own R&D as a regressor. A firm’s involvement in R&D activities accounts for significant productivity gains. Firms also benefit from spillovers originating from their own industries, as well as from innovative upstream sectors.

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Paper provided by Rimini Centre for Economic Analysis in its series Working Paper Series with number 08-07.

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Date of creation: Jul 2007
Date of revision: Jul 2007
Handle: RePEc:rim:rimwps:08-07

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Related research
Keywords: R&D; TFP; selectivity; treatment effect;

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Find related papers by JEL classification:
C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
C80 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - General
D24 - Microeconomics - - Production and Organizations - - - Production; Capital and Total Factor Productivity; Capacity
O30 - Economic Development, Technological Change, and Growth - - Technological Change - - - General

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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Potters, Lesley & Ortega-Argilés, Raquel & Vivarelli, Marco, 2008. "R&D and Productivity: Testing Sectoral Peculiarities Using Micro Data," IZA Discussion Papers 3338, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
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