Multidimensional Economic Complexity: How the Geography of Trade, Technology, and Research Explain Inclusive Green Growth

Viktor Stojkoski, Philipp Koch and Cesar Hidalgo

No 2228, Papers in Evolutionary Economic Geography (PEEG) from Utrecht University, Department of Human Geography and Spatial Planning, Group Economic Geography

Abstract: To achieve inclusive green growth, countries need to consider a multiplicity of economic, social, and environmental factors. These are often captured by metrics of economic complexity derived from the geography of trade, thus missing key information on innovative activities. To bridge this gap, we combine trade data with data on patent applications and research publications to build models that significantly and robustly improve the ability of economic complexity metrics to explain international variations in inclusive green growth. We show that measures of complexity built on trade and patent data combine to explain future economic growth and income inequality and that countries that score high in all three metrics tend to exhibit lower emission intensities. These findings illustrate how the geography of trade, technology, and research combine to explain inclusive green growth. nations.

Keywords: economic complexity; inclusive green growth; complex systems (search for similar items in EconPapers)
JEL-codes: F14 F43 O12 O15 O47 Q56 (search for similar items in EconPapers)
Date: 2022-11, Revised 2022-11
New Economics Papers: this item is included in nep-ene, nep-env, nep-geo, nep-int and nep-tid
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Persistent link: https://EconPapers.repec.org/RePEc:egu:wpaper:2228

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