GTAP Resources: Resource Display
| GTAP Resource #1222 |
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"The Role of Innovation and Opportunity in Bilateral OECD Trade Performance" by Sanyal, Prabuddha Abstract This paper investigates the specialization pattern of countries in terms of technology and exports and examines the role of differences in innovation intensity and technological opportunity in determining bilateral trade. The major aim is to understand the importance of innovation intensity and technological opportunity in affecting bilateral trade performance at the aggregate and sectoral level after controlling for resource endowments. Some of the major findings are as follows: At the aggregate level, innovation intensity and technological opportunity has positive and significant impact on bilateral trade performance especially during the 1990s. At the sectoral level, innovation intensity affects bilateral trade performance positively mainly in the high-technology sectors. There is also a positive and significant relationship between technological opportunity and bilateral trade for five out of the eighteen sectors, which are the high-technology sectors. Overall, there is strong evidence of positive relationship between innovation intensity and technological opportunity on bilateral trade performance. An indirect policy implication is that rationalization of tariff regimes and other trade barriers are desirable for economies, which are trying to specialize in the high-technology sectors. Keywords: Bilateral trade, innovation intensity, technological opportunity. Address for correspondence: Department of Economics, American University, Roper Hall, 4400 Massachusetts Avenue, NW, Washington, DC 20016, USA. Tel:+1 410 8375455; email: prabuddha_sanyal@hotmail.com |
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- Domestic policy analysis - Technological change |
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Public Access  PDF Version (186.8 KB) Replicated: 0 time(s)Restricted Access No documents have been attached. Special Instructions No instructions have been specified. |
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Last Modified: 9/15/2023 2:05:45 PM
