Knowledge Flow in East Asia and Beyond

SCAPE Policy Research Working Paper Series from National University of Singapore, Department of Economics, SCAPE

Abstract: East Asia is emerging as a hub of technological innovation. This paper investigates the extent to which East Asia has become a source of international knowledge diffusion and whether such di®usion is localized to the region. Using citations made by U.S. Patent and Trademark O±ce (USPTO) granted patents to other USPTO patents as an indicator of knowledge °ow and estimating a model of international knowledge di®usion, I ¯nd strong evidence corroborating the hypothesis of increas- ing regionalization of knowledge °ow in East Asia. Korea and Taiwan, the region's leading innovators, cite each other at least as frequently as they cite the US and Japan. Such knowledge °ow has substantially intensi¯ed since the mid 1990s. With the exception of Thailand, all of the East Asian economies that I examine, Hong Kong, Singapore, China, and Malaysia, cite Korea and Taiwan at least as frequently as they cite the US and Japan. The \G5" group, which includes Britain, Canada, France, Germany and Italy, has been the least often cited source of knowledge for East Asia.

Date: 2008-01-13

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