How to Reap the Induced Technological Bonus? A Mechanism and Illustrative Implementation
Exogenous technical progress can have uneven impacts on productivity contingent on absorptive capacity, structural congruence and trade intensity. The paper illustrates the role of enabling behind-the-border factors for effective absorption and is pertinent for discussing issues like ‘Europe 2020’or Lisbon strategy for inclusive growth. Drawing on our model, we illustrate that the capture-parameter is the propellant force for effective assimilation of foreign technology of recent vintage. The capture parameter is the outcome of endogenous decision-making process. The ‘productivity bonus’ mechanism leaves room for changing the results via skill-mix composition. However, it awaits implementation in a large-scale economy-wide modeling framework for further extension.
|Date of creation:||2009|
|Date of revision:||2010|
|Publication status:||Published in Modern Economy 1.1(2010): pp. 80-88|
|Contact details of provider:|| Postal: Ludwigstraße 33, D-80539 Munich, Germany|
Web page: https://mpra.ub.uni-muenchen.de
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- Keller, Wolfgang, 2000.
"Do Trade Patterns and Technology Flows Affect Productivity Growth?,"
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- Guerrieri, Paolo & Milana, Carlo, 1995. "Changes and Trends in the World Trade in High-Technology Products," Cambridge Journal of Economics, Oxford University Press, vol. 19(1), pages 225-242, February.
- Hans Meijl & Frank Tongeren, 1998. "Trade, technology spillovers, and food production in China," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 134(3), pages 423-449, September. Full references (including those not matched with items on IDEAS)
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