Journal Article10.2753/EEE0012-8775510202
International Technology Diffusion
77
TL;DR: In this paper, the authors investigated the effect of foreign research and development (R&D) stock on the productivity of Central and Eastern European (CEE) countries and found that foreign R&D contributes significantly to productivity in CEE countries, while the strongest diffusion of technology occurs through imports and not through intermediate imports or foreign direct investment.
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Abstract: This paper investigates the effect of foreign research and development (R&D) stock on the productivity of Central and Eastern European (CEE) countries. We employ industry-level panel data on twenty-two manufacturing industries from six CEE countries from 1995 to 2007. The findings indicate that foreign R&D contributes significantly to productivity in CEE countries—foreign R&D stock elasticities of productivity are around ten times greater than those of the industry's internal R&D. The results are robust to various measures of productivity, while the strongest diffusion of technology occurs through imports and not through intermediate imports or foreign direct investment. The effect of R&D on productivity growth is greater in medium-tech industries where the level of productivity is closest to that of developed economies. There is also remote evidence of the role of human capital in the better absorption of foreign R&D.
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TL;DR: In this paper, the authors show that the stock of human capital determines the rate of growth, that too little human capital is devoted to research in equilibrium, that integration into world markets will increase growth rates, and that having a large population is not sufficient to generate growth.
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TL;DR: In this paper, the authors show that the stock of human capital determines the rate of growth, that too little human capital is devoted to research in equilibrium, that integration into world markets will increase growth rates, and that having a large population is not sufficient to generate growth.
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International Technology Diffusion
TL;DR: In this paper, the authors survey what is known about the extent of international technology diffusion and channels through which technology spreads and suggest that domestic technology investments are necessary and sufficient for international diffusion.