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GTAP Resource #1171

"Openness, growth and R&D spillovers: uncovering the missing link?"
by Lejour, Arjan and Richard Nahuis

We explore the relationship between openness and growth by taking a
closer look at trade-related knowledge spillovers at the industry level.
First, we estimate the relation between sectoral R&D expenditures,
trade-related spillovers and growth. Next, we incorporate these R&D
linkages in a computable general equilibrium model for the world
economy. We simulate trade liberalisation in the model with R&D
spillovers and compare the effects on GDP in different regions with a
non-R&D based model simulation. We find that the GDP effects of
trade liberalisation are magnified considerably by R&D spillovers for
some regions — notably Japan and South-East Asia. In other regions,
such as China, the additional GDP effects are modest. These findings
can be traced back to changing specialisation and import patterns.

Resource Details (Export Citation) GTAP Keywords
Category: GTAP Application
Status: Published
By/In: Review of International Economics, vol 13, issue 5, p 927-944
Date: 2005
Created: Lejour, A. (2/6/2003)
Updated: Lejour, A. (11/21/2005)
Visits: 2,151
- Economic growth
- Technological change

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