Trade network and international R&D spillovers
AbstractFollowing Coe and Helpman (International R&D Spillovers, EER, 39, 859-887, 1995), the literature on the trade-related channels of international knowledge flows has flourished. Departing from Coe and Helpman's tenets on the proportionality of trade and productivity spillovers and thus relaxing the implicit assumption that the knowledge transferred internationally is physically embodied in the exchanged products, we test whether relatively strong bilateral trade relationships are significantly associated with important international R&D spillovers. Notably, we focus on refined measures of bilateral trade that account for country size, time-invariant pair-specific factors and time-varying country-specific factors. By distinguishing closer and more distant trade partners without weighting their R&D stocks for the bilateral trade flows, we show that trade is indeed an international transmission channel of knowledge even when distance and other pair specific time-invariant factors are taken into account.
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Bibliographic InfoPaper provided by Public policies and local development in its series Openloc Working Papers with number 1103.
Date of creation: 2011
Date of revision:
International R&D spillovers; Total Factor Productivity; International trade network;
Find related papers by JEL classification:
- C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Longitudinal Data; Spatial Time Series
- F01 - International Economics - - General - - - Global Outlook
- O30 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights - - - General
- O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-06-04 (All new papers)
- NEP-CSE-2011-06-04 (Economics of Strategic Management)
- NEP-INO-2011-06-04 (Innovation)
- NEP-INT-2011-06-04 (International Trade)
- NEP-NET-2011-06-04 (Network Economics)
- NEP-SBM-2011-06-04 (Small Business Management)
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