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Enhancing national innovative capacity: The impact of high-tech international trade and inward foreign direct investment

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  • Wu, Jie
  • Ma, Zhenzhong
  • Zhuo, Shuaihe

Abstract

Innovation productivity differs across economies and latecomer countries are working hard to close the gap with developed countries. An investigation of 80 countries in the years of 1981–2010 shows that international patenting activities vary across countries. We also find that both high-tech related international export and inward foreign direct investment significantly contributes to emerging countries’ ability to produce cutting-edge technologies, but this effect does not exist for leading innovator countries. Moreover, although this study shows strong intellectual property rights (IPRs) protection is highly correlated with international patenting activities in leading innovator countries, it has a negative impact on emerging innovator countries’ national innovative capacity. The findings thus help better understand the role of international economic activities and IPR in enhancing national innovative capacity, and facilitate emerging countries’ effort to catch up with leading innovator countries.

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  • Wu, Jie & Ma, Zhenzhong & Zhuo, Shuaihe, 2017. "Enhancing national innovative capacity: The impact of high-tech international trade and inward foreign direct investment," International Business Review, Elsevier, vol. 26(3), pages 502-514.
  • Handle: RePEc:eee:iburev:v:26:y:2017:i:3:p:502-514
    DOI: 10.1016/j.ibusrev.2016.11.001
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    3. Falkowski Krzysztof, 2018. "Competitiveness of the Baltic States in International High-Technology Goods Trade," Comparative Economic Research, Sciendo, vol. 21(1), pages 25-43, March.
    4. Muhammad Athar Nadeem & Zhiying Liu & Haji Suleman Ali & Amna Younis & Muhammad Bilal & Yi Xu, 2020. "Innovation and Sustainable Development: Does Aid and Political Instability Impede Innovation?," SAGE Open, , vol. 10(4), pages 21582440209, November.
    5. Zhang, Ning & Choi, Yongrok & Wang, Wei, 2019. "Does energy research funding work? Evidence from the Natural Science Foundation of China using TEI@I method," Technological Forecasting and Social Change, Elsevier, vol. 144(C), pages 369-380.
    6. Md Qamruzzaman & Tahar Tayachi & Ahmed Muneeb Mehta & Majid Ali, 2021. "Do International Capital Flows, Institutional Quality Matter for Innovation Output: The Mediating Role of Economic Policy Uncertainty," JOItmC, MDPI, vol. 7(2), pages 1-26, May.
    7. Kang, Yuanfei & Scott-Kennel, Joanna & Battisti, Martina & Deakins, David, 2021. "Linking inward/outward FDI and exploitation/exploration strategies: Development of a framework for SMEs," International Business Review, Elsevier, vol. 30(3).
    8. Moaniba, Igam M. & Su, Hsin-Ning & Lee, Pei-Chun, 2019. "On the drivers of innovation: Does the co-evolution of technological diversification and international collaboration matter?," Technological Forecasting and Social Change, Elsevier, vol. 148(C).
    9. Aneta Bobeni? Hinto?ová & Michaela Bruothová, 2019. "A link between innovation performance and inward foreign direct investments: A case of Slovakia," Proceedings of International Academic Conferences 9812114, International Institute of Social and Economic Sciences.
    10. Yongli Zhang & Sanggyun Na & Jianguang Niu & Beichen Jiang, 2018. "The Influencing Factors, Regional Difference and Temporal Variation of Industrial Technology Innovation: Evidence with the FOA-GRNN Model," Sustainability, MDPI, vol. 10(1), pages 1-19, January.

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