The Role of Technology Extension and Transfer in Firms’ Innovation and Productivity in Peru

Miguel Ortiz and Juan Palomino
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Miguel Ortiz: Departamento de Economía de la Pontificia Universidad Católica del Perú
Juan Palomino: Departamento de Economía de la Pontificia Universidad Católica del Perú

No 2025-543, Documentos de Trabajo / Working Papers from Departamento de Economía - Pontificia Universidad Católica del Perú

Abstract: This study examines how technologyextension and transfer services (TETS) drive firm-level innovation andproductivity. Since research and development (R&D) investments are subjectto market failure, engaging with external agents enables firms to innovate atlower risk and cost. Using data from Peru’s National Innovation Survey (ENI),we apply the Crépon, Duguet, and Mairesse (CDM) model alongside propensityscore matching (PSM) to enhance the reliability of our results. Additionally,we employ the generalized propensity score (GPS) method to analyze thesensitivity of innovation and sales outcomes to varying investment levels. Thefindings confirm that investment in training and external R&D significantlyenhances innovation, thereby boosting labor productivity. However, thisrelationship is nonlinear, suggesting the presence of investment thresholdsrequired to maximize impact. Palabras claves: Technology Transfer, Innovation,Productivity, R&D, CDM model JEL Classification-JE: L25, O32, O38

Keywords: Technology Transfer; Innovation; Productivity; R&D; CDM model (search for similar items in EconPapers)
Pages: 54
Date: 2025
New Economics Papers: this item is included in nep-cse, nep-eff, nep-sbm and nep-tid
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