IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Log in (now much improved!) to save this paper

Knowledge spillovers: On the impact of genetic distance and data revisions

Listed author(s):
  • Deeken, Tim
Registered author(s):

    This paper assesses the robustness of the empirical results in Ertur and Koch (2007), who develop a model, which accounts for technological interdependence among countries through spatial externalities. The original version models interdependence via an interaction matrix based on geographic distance. In contrast, in this paper, data on genetic distance, defined as the time since two populations have shared a common ancestor, from Spolaore and Wacziarg (2009) is used to construct the interaction matrix. It is found that, whereas in the original model indirect spillovers from capital investment were insignificant, using genetic distance, these spillovers now have a significant effect on steady-state income per worker. However, the version of the model with an interaction matrix based on genetic distance implies an implausibly large capital share of income. In addition, the model is subjected to a further series of robustness checks. The original version relies on data from Penn World Table (PWT) Version 6.1. More recent versions are currently available, and the data has been extensively revised (Johnson et al., 2013). It is shown that results are in general not robust across different versions of the PWT. Furthermore, the estimation results are highly sensitive both to the measure used to model interaction between countries (genetic or geographic distance) and to the specific functional form on which the weights in the interaction matrix are based.

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

    File URL: https://www.econstor.eu/bitstream/10419/122154/1/839328079.pdf
    Download Restriction: no

    Paper provided by Karlsruhe Institute of Technology (KIT), Department of Economics and Business Engineering in its series Working Paper Series in Economics with number 74.

    as
    in new window

    Length:
    Date of creation: 2015
    Handle: RePEc:zbw:kitwps:74
    Contact details of provider: Web page: http://www.wiwi.kit.edu/

    More information through EDIRC

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

    as
    in new window


    1. Lindner, Ines & Strulik, Holger, 2014. "The great divergence: A network approach," Center for European, Governance and Economic Development Research Discussion Papers 193, University of Goettingen, Department of Economics.
    2. Quamrul Ashraf & Oded Galor, 2013. "The 'Out of Africa' Hypothesis, Human Genetic Diversity, and Comparative Economic Development," American Economic Review, American Economic Association, vol. 103(1), pages 1-46, February.
    3. J. Derbyshire & B. Gardiner & S. Waights, 2013. "Estimating the capital stock for the NUTS2 regions of the EU27," Applied Economics, Taylor & Francis Journals, vol. 45(9), pages 1133-1149, March.
    4. Johnson, Simon & Larson, William & Papageorgiou, Chris & Subramanian, Arvind, 2013. "Is newer better? Penn World Table Revisions and their impact on growth estimates," Journal of Monetary Economics, Elsevier, vol. 60(2), pages 255-274.
    5. Ashraf, Quamrul & Galor, Oded, 2008. "Human Genetic Diversity and Comparative Economic Development," CEPR Discussion Papers 6824, C.E.P.R. Discussion Papers.
    6. Manfred Fischer, 2011. "A spatial Mankiw–Romer–Weil model: theory and evidence," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 47(2), pages 419-436, October.
    7. Natalia Ponomareva & Hajime Katayama, 2010. "Does the version of the Penn World Tables matter? An analysis of the relationship between growth and volatility," Canadian Journal of Economics, Canadian Economics Association, vol. 43(1), pages 152-179, February.
    8. Lung-Fei Lee, 2004. "Asymptotic Distributions of Quasi-Maximum Likelihood Estimators for Spatial Autoregressive Models," Econometrica, Econometric Society, vol. 72(6), pages 1899-1925, November.
    9. Breton, Theodore R., 2012. "Penn World Table 7.0: Are the data flawed?," Economics Letters, Elsevier, vol. 117(1), pages 208-210.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:zbw:kitwps:74. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (ZBW - German National Library of Economics)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.