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Impact of International Technological-Knowledge Diffusion on Southern Convergence

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Author Info
Oscar Afonso () (Faculdade de Economia Universidade do Porto)
Paulo B Vasconcelos (Universidade do Porto)

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Abstract

In the standard models of North-South technological-knowledge diffusion, the larger the initial technological-knowledge gap between countries is, the higher the Southern catching up. However, this result does not adjust well to Southern reality as a whole. The purpose of this paper is to demonstrate that the disparity between the theoretical outcome and the empirical findings can be reduced by considering that: (i) the South can only imitate Northern technological knowledge when it is sufficiently close to the Northern frontier; (ii) the advantage of the South's moderate backwardness, together with its imitation capacity, is a mechanism of catching up with the North; and (iii) the Southern catching-up specification can be country specific. In particular, we show that the behavior of the South's relative level of employed human capital affects Southern imitation capacity and depends on the catching-up specifications

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Publisher Info
Paper provided by Society for Computational Economics in its series Computing in Economics and Finance 2006 with number 224.

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Date of creation: 04 Jul 2006
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Handle: RePEc:sce:scecfa:224

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Related research
Keywords: North-South; R&D; Human Capital; Convergence; Numerical Computations;

Find related papers by JEL classification:
C63 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Computational Techniques
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development

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