North-South and South-South Trade-Related Technology Diffusion: How Important Are They in Improving TFP Growth?

This paper examines the impact on total factor productivity (TFP) growth in the South of North-South and South-South trade-related technology diffusion and of foreign direct investment (FDI). North-South and South-South trade-related research and development (R&D) stocks are constructed based on industry-specific R&D in the North, North-South and South-South trade patterns, and input-output relations in the South. The main findings are: 1. both North-South and South-South trade-related R&D have a positive impact on TFP growth in the South; 2. FDI has a positive, though smaller, impact on TFP growth; and 3.the impact on TFP growth of trade-related technology diffusion increases with the level of education in the case of North-South trade but not in the case of South-South trade.

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Bibliographic Details
Main Authors: Schiff, Maurice, Wang, Yanling
Format: Journal Article biblioteca
Language:EN
Published: 2008
Subjects:Country and Industry Studies of Trade F140, International Linkages to Development, Role of International Organizations O190, Technological Change: Choices and Consequences, Diffusion Processes O330, Measurement of Economic Growth, Aggregate Productivity, Cross-Country Output Convergence O470,
Online Access:http://hdl.handle.net/10986/4924
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