IDEAS home Printed from https://ideas.repec.org/a/oup/indcch/v28y2019i6p1497-1513..html

R&D offshoring and home industry productivity

Author

Listed:
  • Gaétan de Rassenfosse
  • Russell Thomson

Abstract

Offshoring research and development (R&D) commonly invokes concerns regarding the loss of high value jobs and a hollowing out of technological capabilities, but it can also benefit domestic firms by enabling them to tap into the global technological frontier. We study the effect of R&D offshoring on industrial productivity in the home country using industry-level data for 18 OECD countries over a 26-year period. Simultaneity between productivity and R&D offshoring is addressed by using foreign tax policy as an instrument for offshored R&D. We show that R&D offshoring contributes positively to productivity in the home country, irrespective of the host country destination.

Suggested Citation

  • Gaétan de Rassenfosse & Russell Thomson, 2019. "R&D offshoring and home industry productivity," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 28(6), pages 1497-1513.
    • Handle: RePEc:oup:indcch:v:28:y:2019:i:6:p:1497-1513.
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1093/icc/dtz020
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or

    for a different version of it.

    Other versions of this item:

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Colin Davis & Ken‐ichi Hashimoto, 2023. "Innovation offshoring and reshoring with fully endogenous growth," Southern Economic Journal, John Wiley & Sons, vol. 90(1), pages 90-120, July.
    2. Thompson, Mark James & Woerter, Martin, 2020. "Competition and invention quality: Evidence from Swiss firms," Technological Forecasting and Social Change, Elsevier, vol. 156(C).
    3. Peter M. Bican & Dirk Caspary & Carsten C. Guderian, 2023. "Cross-Border Dynamics of IP Modularity: International Patenting in LEDs and Lithium-Ion Secondary Battery Technology," Management International Review, Springer, vol. 63(2), pages 347-376, April.
    4. Frietsch, Rainer, 2020. "Current R&I policy: The future development of China's R&I system," Discussion Papers "Innovation Systems and Policy Analysis" 63, Fraunhofer Institute for Systems and Innovation Research (ISI).

    More about this item

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • F62 - International Economics - - Economic Impacts of Globalization - - - Macroeconomic Impacts
    • O25 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Industrial Policy
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • L6 - Industrial Organization - - Industry Studies: Manufacturing

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oup:indcch:v:28:y:2019:i:6:p:1497-1513.. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Oxford University Press (email available below). General contact details of provider: https://academic.oup.com/icc .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.