Austria's Technology Flows
The OECD has been measuring the total research and development content of output flows for several years. This measure not only includes direct R&D expenditures, but also the research and development content of intermediate and investment goods, both domestic and imported. In many cases, this presents a more meaningful approach to measuring technology levels. For the first time, computations of the total research and development content of output were carried out for the Austrian economy. The results are presented in this study. In Austria, direct expenditures on research and development in the business sector account for not quite half of the total research and development content of aggregate output. The most important components in the "indirect R&D" category are imported and domestic intermediate goods. In the longer run, the share of imported technology in the total R&D content of output is increasing. Although initially Austria was able to catch up (from 1976 to 1988), research and development expenditures were still low by international standards in 1994. With a ratio of "indirect" to "direct" research and development expenditures close to 1 : 1, Austria holds a middle position in the international community. In large, advanced economies this ratio is significantly lower. For a small open economy technology flows embodied in imports are particularly relevant. As expected, the ratio of imported intermediate and capital goods to direct expenditures on research and development is relatively high by international standards. However, the same holds true for comparable small open economies. Thus, there is no evidence that Austria holds an extraordinary position based on above-average imports of technology. Germany plays a remarkable role as a supplier of imported technology to Austria. Germany dominates technology imports – in particular through investment goods – to an even higher degree than Austria's imports of manufacturing goods. The USA is the second most important partner country in this respect (apart from the "other OECD" group of countries including Switzerland). The change in the pattern of technology flows over the two decades examined provides an impressive picture of Austria's evolution towards a "knowledge-based economy". On the one hand, the service sector has gained significantly in importance as a destination of technology flows, catching up with manufacturing by 1994. On the other hand, the weight of the information technology cluster has been increasing rapidly: Already in 1994, the information technology cluster was by far the most important source of technology, outweighing the materials cluster. Thus, the relations prevailing in 1976 have been almost completely reversed. Indirect research and development originating in the information technology cluster and absorbed by the service sector constitutes the most important flow of technology. Even for the manufacturing sector, the information technology cluster was the most important source of technology in 1994, thus outperforming the materials cluster. Here, too, the relations have undergone a fundamental change since 1976.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 72 (1999)
Issue (Month): 6 (June)
|Contact details of provider:|| Postal: Arsenal Object 20, A-1030 Wien|
Phone: (+43 1) 798 26 01-0
Fax: (+43 1) 798 93 86
Web page: http://www.wifo.ac.at/
More information through EDIRC
|Order Information:|| Postal: Austrian Institute of Economic Research Publikationsverkauf und Abonnentenbetreuung Arsenal, Objekt 20 A-1030 Vienna/Austria|
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Grossman,G.M. & Helpman,E., 1995. "Technological Determinants of Trade," Papers 44-95, Tel Aviv.
- Paul Romer, 1989.
"Endogenous Technological Change,"
NBER Working Papers
3210, National Bureau of Economic Research, Inc.
- Grossman, Gene M. & Helpman, Elhanan, 1995.
"Technology and trade,"
Handbook of International Economics,
in: G. M. Grossman & K. Rogoff (ed.), Handbook of International Economics, edition 1, volume 3, chapter 25, pages 1279-1337
- Gene M. Grossman & Elhanan Helpman, 1994. "Technology and Trade," NBER Working Papers 4926, National Bureau of Economic Research, Inc.
- Grossman, Gene & Helpman, Elhanan, 1995. "Technology and Trade," CEPR Discussion Papers 1134, C.E.P.R. Discussion Papers.
- Grossman, G.M. & Helpman, E., 1994. "Technology and Trade," Papers 175, Princeton, Woodrow Wilson School - Public and International Affairs.
- Robert J. Barro, 2012.
"Inflation and Economic Growth,"
CEMA Working Papers
568, China Economics and Management Academy, Central University of Finance and Economics.
- Xavier Sala-I-Martin, 1997.
"Transfers, Social Safety Nets, and Economic Growth,"
IMF Staff Papers,
Palgrave Macmillan, vol. 44(1), pages 81-102, March.
- anonymous, 1995. "Does the bouncing ball lead to economic growth?," Regional Update, Federal Reserve Bank of Atlanta, issue Jul, pages 1-2, 4-6.
- Marin, Dalia, 1995.
"Learning and Dynamic Comparative Advantage: Lessons from Austria's Post-war Pattern of Growth for Eastern Europe,"
CEPR Discussion Papers
1116, C.E.P.R. Discussion Papers.
- Marin, Dalia, 1995. "Learning and Dynamic Comparative Advantage: Lessons from Austria's Postwar Pattern of Growth for Eastern Europe," Discussion Papers in Economics 610, University of Munich, Department of Economics.
- Frederic Scherer, 1984. "Using Linked Patent and R&D Data to Measure Interindustry Technology Flows," NBER Chapters, in: R&D, Patents, and Productivity, pages 417-464 National Bureau of Economic Research, Inc.
- George Papaconstantinou & Norihisa Sakurai & Andrew Wyckoff, 1996. "Embodied Technology Diffusion: An Empirical Analysis for 10 OECD Countries," OECD Science, Technology and Industry Working Papers 1996/1, OECD Publishing.
- Fagerberg, Jan, 1994. "Technology and International Differences in Growth Rates," Journal of Economic Literature, American Economic Association, vol. 32(3), pages 1147-75, September.
- Luis A. Rivera-Batiz & Paul M. Romer, 1991.
"Economic Integration and Endogenous Growth,"
The Quarterly Journal of Economics,
Oxford University Press, vol. 106(2), pages 531-555.
- V.F. Borisov & G. Hutschenreiter & A.V. Kryazhimskii, 1999. "Asymptotic growth ratesin knowledge‐exchanging economies," Annals of Operations Research, Springer, vol. 89(0), pages 61-73, January.
When requesting a correction, please mention this item's handle: RePEc:wfo:monber:y:1999:i:6:p:419-433. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ilse Schulz)
If references are entirely missing, you can add them using this form.