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Trade-related technology diffusion and the dynamics of North-South and South-South integration, Volume 1
Author:Schiff, Maurice; Wang, Yanling; Olarreaga, Marcelo; Country:World;
Date Stored:2002/07/31Document Date:2002/06/30
Document Type:Policy Research Working PaperSubTopics:Education and Digital Divide; Scientific Research & Science Parks; Science Education; Industrial Management; Water and Industry; Research and Development; Agricultural Knowledge and Information Systems; Environmental Economics & Policies
Language:EnglishRegion:The World Region
Report Number:WPS2861Sub Sectors:Trade
Collection Title:Policy, Research working paper ; no. WPS 2861Volume No:1

Summary: 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.

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