Trade-related technology diffusion and the dynamics of North-South and South-South integration

Maurice Schiff (), Yanling Wang and Marcelo Olarreaga ()

No 2861, Policy Research Working Paper Series from The World Bank

Abstract: This paper examines the impact on total factor productivity of North-South and South-South trade-related research and development (R&D) spillovers. It is the first to do so at the industry level for developing countries. North-South and South-South R&D flows 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) North-South and South-South R&D flows have a positive impact on total factor productivity, though the former is larger. 2) R&D-intensive industries benefit mainly from North-South R&D flows while low R&D-intensive industries benefit mainly from South-South R&D flows. These results have implications for dynamic comparative advantage and for the dynamics of North-South and South-South regional integration.

Keywords: Industrial Management; Scientific Research&Science Parks; Water and Industry; Agricultural Knowledge&Information Systems; Environmental Economics&Policies; Research and Development; Agricultural Knowledge&Information Systems; Education and Digital Divide; Scientific Research&Science Parks; Science Education (search for similar items in EconPapers)
Date: Written
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