International Technology Spillovers, Human Capital and Productivity Linkages: Evidence from the Industrial
The paper estimates an empirical model that is consistent with a variety of R&D- driven model of growth where technology is transmitted via trade to other industries, both domestically and internationally, by being embodied in differentiated intermediate goods. The evidence is based on data from 21 manufacturing industries in six EU countries for the period 1980-1997. The contribution of the paper lies in showing how by including human capital in the model and employing suitable econometric procedures, the magnitude of R&D spillovers reported in the existing literature can be affected, while pointing to a major role of human capital in economic growth process.
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