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Joint and Cross-Border Patents as Proxies for International Technology Diffusion

Author

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  • Chia-Lin Chang

    (Department of Applied Economics, Department of Finance, National Chung Hsing University, Taiwan)

  • Michael McAleer

    (Department of Finance, Asia University, Taiwan3Discipline of Business Analytics, University of Sydney Business School, Australia4Econometric Institute, Erasmus School of Economics, Erasmus University Rotterdam, The Netherlands5Department of Quantitative Economics, Complutense University of Madrid, Spain6Institute of Advanced Sciences, Yokohama National University, Japan)

  • Ju-Ting Tang

    (Department of Applied Economics, National Chung Hsing University, Taiwan)

Abstract

With the advent of globalization, economic and financial interactions among countries have become widespread. Given technological advancements, the factors of production can no longer be considered to be just labor and capital. In the pursuit of economic growth, every country has sensibly invested in international cooperation, learning, innovation, technology diffusion and knowledge, and outward direct investment. In this paper, we use a panel data set of 40 countries from 1981 to 2008 and a negative binomial model, using a novel set of cross-border patents and joint patents as proxy variables for technology diffusion, in order to investigate such diffusion. The empirical results suggest that, if it is desired to shift from foreign to domestic technology, it is necessary to increase expenditure on R&D for business enterprises and higher education, exports and technology. If the focus is on increasing bilateral technology diffusion, it is necessary to increase expenditure on R&D for higher education and technology. It is also found that outward foreign direct investment has no significant impact on either joint or cross-border patents, whereas inward foreign direct investment has a significant negative impact on cross-border patents but no impact on joint patents. Moreover, government expenditure on higher education has a significant impact on both cross-border and joint patents.

Suggested Citation

  • Chia-Lin Chang & Michael McAleer & Ju-Ting Tang, 2018. "Joint and Cross-Border Patents as Proxies for International Technology Diffusion," International Journal of Innovation and Technology Management (IJITM), World Scientific Publishing Co. Pte. Ltd., vol. 15(02), pages 1-29, April.
    • Handle: RePEc:wsi:ijitmx:v:15:y:2018:i:02:n:s0219877018500104
    DOI: 10.1142/S0219877018500104
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    2. Wei Yang & Xiang Yu & Ben Zhang & Ziyang Huang, 2021. "Mapping the landscape of international technology diffusion (1994–2017): network analysis of transnational patents," The Journal of Technology Transfer, Springer, vol. 46(1), pages 138-171, February.

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    More about this item

    Keywords

    International technology diffusion; exports; imports; joint patent; cross-border patent; R&D; negative binomial panel data;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F21 - International Economics - - International Factor Movements and International Business - - - International Investment; Long-Term Capital Movements
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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