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R&D, scale effects and spillovers: New insights from emerging countries

Author

Listed:
  • Kul B. Luintel

    (Cardiff Business School, Cardiff, United Kingdom)

  • Mosahid Khan

    (World Intellectual Property Organization, Economics and Statistics Division, Geneva, Switzerland)

Abstract

There has been a concomitant rise in R&D and the rate of economic growth in emerging countries. Analyzing a panel of 31 emerging countries, we find convincing evidence of scale effects which make government policies potent for long-run growth. This contrasts sharply with the well-known findings of Jones (1995a). Innovations show increasing returns to knowledge stock, implying that the diminishing returns assumed by some semi-endogenous growth models might not be generalized. International R&D spillovers raise the innovation bar. The observed growth rates of emerging economies appear in transition therefore their growth rates may recede with the passage of time.

Suggested Citation

  • Kul B. Luintel & Mosahid Khan, 2016. "R&D, scale effects and spillovers: New insights from emerging countries," WIPO Economic Research Working Papers 32, World Intellectual Property Organization - Economics and Statistics Division, revised Jun 2016.
    • Handle: RePEc:wip:wpaper:32
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    References listed on IDEAS

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    Cited by:

    1. Kais Saidi & Chebli Mongi, 2018. "The Effect of Education, R&D and ICT on Economic Growth in High Income Countries," Economics Bulletin, AccessEcon, vol. 38(2), pages 810-825.

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    More about this item

    Keywords

    Scale Effects; Ideas Production; Diffusion; Panel Integration and Cointegration.;
    All these keywords.

    JEL classification:

    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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