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Foreign Direct Investment and Technology Spillover: An Evaluation Across Different Clusters in India


  • Pami Dua


  • B N Goldar


  • Smruti Ranjan Behera



The paper attempts to explore the technology spillover effects of Foreign Direct Investment (FDI) in Indian manufacturing industries across different selected clusters in India. To measure the spillover effect to domestic firms in a particular cluster, a model is used that combines an innovative production function with a conventional production function. The model parameter estimates provide an evaluation of the technology spillovers in a cluster and the inter-cluster spillovers taking place in various regions. [Working Paper No. 200]. URL:[].

Suggested Citation

  • Pami Dua & B N Goldar & Smruti Ranjan Behera, 2011. "Foreign Direct Investment and Technology Spillover: An Evaluation Across Different Clusters in India," Working Papers id:4382, eSocialSciences.
  • Handle: RePEc:ess:wpaper:id:4382
    Note: Institutional Papers

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    References listed on IDEAS

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    More about this item


    FDI; foreign direct investment; Indian; manufacturing industries; India; domestic firms; production function; technology spillovers; regions; developing economies; productivity; Pareto-improving distribution; competition; Economic geography; Resources; capital; technology; inputs; Competitive Advantage;

    JEL classification:

    • O41 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - One, Two, and Multisector Growth Models
    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • L6 - Industrial Organization - - Industry Studies: Manufacturing
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)


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