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Why some countries are slow in acquiring new technologies? A model of trade-led diffusion and absorption

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  • Das, Gouranga Gopal

Abstract

Drawing on the stylized facts and evidences, in a computable general equilibrium (CGE) model, this paper examines the impact on TFP of North–South, North–North trade-related triangular R&D spillovers. By constructing different technology appropriation parameters based on embodied and disembodied R&D, absorption and learning effects, it shows: (i) North–South R&D flows have a positive impact on TFP; (ii) human capital-induced skill facilitates North–South R&D flows; (iii) socio-institutional and technology adoption parameters do play roles for knowledge flows, its capture, and transmission. Such technology diffusion and assimilation counters the adverse impact of North–South geographical distance on productivity dynamics.

Suggested Citation

  • Das, Gouranga Gopal, 2015. "Why some countries are slow in acquiring new technologies? A model of trade-led diffusion and absorption," Journal of Policy Modeling, Elsevier, vol. 37(1), pages 65-91.
  • Handle: RePEc:eee:jpolmo:v:37:y:2015:i:1:p:65-91
    DOI: 10.1016/j.jpolmod.2015.01.001
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    Cited by:

    1. Kant, Chander, 2016. "Are institutions in developing countries malleable?," Journal of Policy Modeling, Elsevier, vol. 38(2), pages 272-289.

    More about this item

    Keywords

    Technology diffusion; Trade; Syndromes; Capture; R&D;

    JEL classification:

    • J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • D58 - Microeconomics - - General Equilibrium and Disequilibrium - - - Computable and Other Applied General Equilibrium Models

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