The Effect of Technological Innovation on International Trade
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comunitat-uji-handle2:10234/8643
comunitat-uji-handle3:10234/8644
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INVESTIGACIONMetadata
Title
The Effect of Technological Innovation on International TradeDate
2010Publisher
Kiel Institute for the World EconomyISSN
1864-6042Bibliographic citation
MÁRQUEZ-RAMOS, Laura; MARTÍNEZ-ZARZOSO, Inmaculada. The effect of technological innovation on international trade. Economics: the open-access, open-assessment E-Journal, 2010, vol. 4, p. 11.Type
info:eu-repo/semantics/articlePublisher version
http://www.economics-ejournal.org/dataset/comments/comment.2009-07-08.3750567228.pdfVersion
info:eu-repo/semantics/publishedVersionSubject
Abstract
In this paper, the effect of technological innovation on sectoral exports is
analysed using a gravity model of trade. The technological achievement index (TAI) and
its four components, creation of technology, diffusion ... [+]
In this paper, the effect of technological innovation on sectoral exports is
analysed using a gravity model of trade. The technological achievement index (TAI) and
its four components, creation of technology, diffusion of old innovations, diffusion of
recent innovations and human skills, are used as proxies for technological innovation. The
two first components are considered proxies for knowledge acquisition and assimilation
(potential absorptive capacity), whereas the last two are taken as proxies for knowledge
transformation and exploitation (realised absorptive capacity). We hypothesise that the
effect of technological innovation on trade could vary according to the technological
achievement by generating a non-linear relationship between technological innovation and
trade. Our findings indicate a positive and non-linear effect of technological innovation on
export performance, which indicates that there are thresholds for positive signs to occur.
To foster exports, countries have to consider not only acquisition and assimilation
capabilities, but also transformation and exploitation capabilities once a minimum level of
potential absorptive capacity has been achieved [-]
Is part of
Economics: the open-access, open-assessment E-Journal, 2010, vol. 4Rights
© Kiel Institute for the World Economy
info:eu-repo/semantics/openAccess
info:eu-repo/semantics/openAccess
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