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Trade, Human Capital, and Technology Diffusion in the Mediterranean Agricultural Sector

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  • Nadia Belhaj Hassine

Abstract

This paper investigates the roles of human capital and openness in the process of technology diffusion and productivity growth in the Mediterranean agricultural sector. We estimate a nonlinear productivity growth specification that nests the logistic and the confined exponential technology diffusion functional forms, using a panel of nine South Mediterranean countries and five European Union countries for the period 1990 to 2005. The estimation results suggest that the steady state is a balanced growth path, with all backward economies growing at the pace determined by the leading edge. The findings illustrate the positive roles of openness and human capital in facilitating technology diffusion and fostering agricultural growth. We find strong complementary effects between foreign technology embodied in imported capital goods and educational attainment on farming performance.

Suggested Citation

  • Nadia Belhaj Hassine, 2008. "Trade, Human Capital, and Technology Diffusion in the Mediterranean Agricultural Sector," Economie Internationale, CEPII research center, issue 114, pages 115-142.
  • Handle: RePEc:cii:cepiei:2008-1te
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    File URL: http://www.cepii.fr/IE/rev113/ei113e.htm
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    Cited by:

    1. Nadia Belhaj Hassine & Veronique Robichaud & Bernard Decaluwé, 2010. "Agricultural Trade Liberalization, Productivity Gain and Poverty Alleviation: A General Equilibrium Analysis," Working Papers 519, Economic Research Forum, revised 05 Jan 2010.
    2. Hildegunn E. Stokke, 2009. "Multinational supermarket chains in developing countries: does local agriculture benefit?," Agricultural Economics, International Association of Agricultural Economists, vol. 40(6), pages 645-656, November.
    3. Nadia Belhaj Hassine & Veronique Robichaud & Bernard Decaluwé, 2010. "Does Agricultural Trade Liberalization Help The Poor in Tunisia? A Micro-Macro View in A Dynamic General Equilibrium Context," Working Papers 556, Economic Research Forum, revised 10 Jan 2010.

    More about this item

    Keywords

    Human capital; openness; technology diffusion; agricultural productivity; panel data;

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • Q17 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agriculture in International Trade

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