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Heterogeneous Ideas Production and Endogenous Growth: An Empirical Investigation

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Abstract

We examine the dynamics of ideas production and knowledge-productivity relationship in a panel of 19 OECD countries. A new data set of triadic patents is used. We rigorously address the issues of cross-country heterogeneity and endogeneity. Domestic and foreign ideas stocks exert positive but heterogeneous effects on ideas production. We find evidence of duplicate R&D but little support for endogenous growth. Countries with low domestic ideas bases could considerably improve productivity through ideas accumulation,however, this effect is modest for countries with sizeable ideas bases. An implication is that country-specific R&D policy appears potentially more effective than the one-size-fits-all approach.

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  • Luintel, Kul B & Khan, Mosahid, 2008. "Heterogeneous Ideas Production and Endogenous Growth: An Empirical Investigation," Cardiff Economics Working Papers E2008/29, Cardiff University, Cardiff Business School, Economics Section.
    • Handle: RePEc:cdf:wpaper:2008/29
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    Cited by:

    1. Tiago Neves Sequeira & Pedro Cunha Neves, 2020. "Stepping on toes in the production of knowledge: a meta-regression analysis," Applied Economics, Taylor & Francis Journals, vol. 52(3), pages 260-274, January.
    2. Herzer Dierk, 2022. "Semi-endogenous Versus Schumpeterian Growth Models: A Critical Review of the Literature and New Evidence," Review of Economics, De Gruyter, vol. 73(1), pages 1-55, April.
    3. Mouhamadou Lamine DIAL, 2022. "Les effets de l’urbanisation et de l’industrialisation sur l’intensité énergétique dans la CEDEAO," Region et Developpement, Region et Developpement, LEAD, Universite du Sud - Toulon Var, vol. 56, pages 41-59.
    4. Luintel, Kul B. & Khan, Mosahid, 2017. "Ideas production and international knowledge spillovers: Digging deeper into emerging countries," Research Policy, Elsevier, vol. 46(10), pages 1738-1754.
    5. Antonio Cubel & Vicente Esteve & Maria Teresa Sanchis & Juan A. Sanchis-Llopis, 2014. "The effect of foreign and domestic patents on total factor productivity during the second half of the 20th century," Working Papers 06/14, Instituto Universitario de Análisis Económico y Social.
    6. Menyah, Kojo & Nazlioglu, Saban & Wolde-Rufael, Yemane, 2014. "Financial development, trade openness and economic growth in African countries: New insights from a panel causality approach," Economic Modelling, Elsevier, vol. 37(C), pages 386-394.
    7. repec:wip:wpaper:1 is not listed on IDEAS
    8. Amin Fahimi & Godwin Olasehinde‐Williams & Seyi Saint Akadiri, 2021. "Examining the causal relationship between globalization and energy consumption in MINT countries: Evidence from bootstrap panel granger causality," International Journal of Finance & Economics, John Wiley & Sons, Ltd., vol. 26(2), pages 1886-1896, April.
    9. Ceyhun Can OZCAN, 2016. "International trade and tourism for Mediterranean countries: A panel causality analysis," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(1(606), S), pages 203-212, Spring.
    10. Jiang, Hongdian & Dong, Xiucheng & Jiang, Qingzhe & Dong, Kangyin, 2020. "What drives China's natural gas consumption? Analysis of national and regional estimates," Energy Economics, Elsevier, vol. 87(C).
    11. Pedro Neves & Tiago Sequeira, 2017. "The Production of Knowledge: A Meta-Regression Analysis," CEFAGE-UE Working Papers 2017_03, University of Evora, CEFAGE-UE (Portugal).
    12. Neves, Pedro Cunha & Sequeira, Tiago Neves, 2018. "Spillovers in the production of knowledge: A meta-regression analysis," Research Policy, Elsevier, vol. 47(4), pages 750-767.
    13. Kul Luintel & Mosahid Khan & Konstantinos Theodoridis, 2014. "On the robustness of R&D," Journal of Productivity Analysis, Springer, vol. 42(2), pages 137-155, October.
    14. Thomas H. W. Ziesemer, 2022. "Foreign R&D spillovers to the USA and strategic reactions," Applied Economics, Taylor & Francis Journals, vol. 54(37), pages 4274-4291, August.
    15. Luintel, Kul B & Kahn, Mosahid, 2012. "Ideas Production in Emerging Economies," Cardiff Economics Working Papers E2012/6, Cardiff University, Cardiff Business School, Economics Section.
    16. Mosahid Khan & Kul B. Luintel & Konstantinos Theodoris, 2010. "How Robust is the R&D – Productivity relationship? Evidence from OECD Countries," WIPO Economic Research Working Papers 01, World Intellectual Property Organization - Economics and Statistics Division, revised Dec 2010.
    17. Ceyhun Can OZCAN & Murat ASLAN & Saban NAZLIOGLU, 2017. "Economic freedom, economic growth and international tourism for post-communist (transition) countries: A panel causality analysis," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(2(611), S), pages 75-98, Summer.
    18. Ciaffi, Giovanna & Deleidi, Matteo & Di Bucchianico, Stefano, 2024. "Stagnation despite ongoing innovation: Is R&D expenditure composition a missing link? An empirical analysis for the US (1948–2019)," Technological Forecasting and Social Change, Elsevier, vol. 206(C).
    19. Foreman-Peck, James & Zhou, Peng, 2023. "Specialisation precedes diversification: R&D productivity effects," Research Policy, Elsevier, vol. 52(7).
    20. Kul B. Luintel & Mosahid Khan, 2016. "R&D, scale effects and spillovers: New insights from emerging countries," WIPO Economic Research Working Papers 32, World Intellectual Property Organization - Economics and Statistics Division, revised Jun 2016.
    21. Herzer, Dierk, 2020. "How does mortality affect innovative activity in the long run?," World Development, Elsevier, vol. 125(C).
    22. Alper Yılmaz, 2023. "Carbon emissions effect of trade openness and energy consumption in Sub-Saharan Africa," SN Business & Economics, Springer, vol. 3(2), pages 1-28, February.

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    More about this item

    Keywords

    Knowledge Stocks; Dynamic Heterogeneity; TFP; Methods of Moments;
    All these keywords.

    JEL classification:

    • F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
    • F2 - International Economics - - International Factor Movements and International Business
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
    • C15 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Statistical Simulation Methods: General

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