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Exporting ideas: Knowledge flows from expanding trade in goods

Author

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  • Philippe Aghion
  • Antonin Bergeaud
  • Timothee Gigout
  • Matthieu Lequien
  • Marc Malitz

Abstract

We examine the effect of entry by French firms into a new export market on the dynamics of their patents' citations received from that destination. Applying a difference-in-differences identification strategy with a staggered treatment design, we show that: (i) entering a new foreign market has a significant impact on the long-run flow of citations; (ii) the impact is mostly driven by the extensive margin; (iii) inventors in destination countries patent mostly in products that do not directly compete with those of the exporting firm; (iv) the spillover intensity decreases with the technological distance between the exporting firm and the destination.

Suggested Citation

  • Philippe Aghion & Antonin Bergeaud & Timothee Gigout & Matthieu Lequien & Marc Malitz, 2023. "Exporting ideas: Knowledge flows from expanding trade in goods," CEP Discussion Papers dp1960, Centre for Economic Performance, LSE.
    • Handle: RePEc:cep:cepdps:dp1960
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    Keywords

    international trade; spillover; innovation; patent;
    All these keywords.

    JEL classification:

    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • O34 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Intellectual Property and Intellectual Capital
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • F10 - International Economics - - Trade - - - General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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