Technological competition and trade performance

Michael Landesmann and Michael Pfaffermayr

Applied Economics, 1997, vol. 29, issue 2, 179-196

Abstract: This paper estimates a demand system for OECD exports differentiated by country of origin for two ISIC industries (non-electrical machinery, electrical machinery) and for total manufacturing exports. It develops a generalized form of the AIDS demand system in which research and development (R&D) effort enters in a number of ways to affect a particular supplier's competitiveness: R&D activity relative to competitors affects, on the one hand, relative cost competitiveness and, on the other hand, the producer's position in the quality spectrum of products offered on international markets. One of the interesting insights gained from the study is that 'effectiveness' of R&D effort can differ much across different economies. It is conjectured that a country's position in an international catching-up process may be partly responsible for such differences as well as labour market dynamics which link increased labour costs to cost- and quality-improvements.

Date: 1997
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (31)

Downloads: (external link)
http://www.tandfonline.com/doi/abs/10.1080/000368497327254 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:applec:v:29:y:1997:i:2:p:179-196

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RAEC20

DOI: 10.1080/000368497327254

Access Statistics for this article

Applied Economics is currently edited by Anita Phillips

More articles in Applied Economics from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().