External Sources of Technological Innovation in Chilean Manufacturing Industry
Year: 2001
Type: article
Abstract: There are several arguments in the literature regarding that more open economies\nwould grow faster in the long term. Nevertheless, the channels through which\nopenness increases growth have not been clearly identified in empirical analysis.\nIn this article, we study if outward orientation variables have a positive impact\non technological innovation, which is one of the most important sources of productivity\ngrowth. Using microeconomic data for Chilean manufacturing industry,\nwe identify the effect of three main mechanisms of technological absorption:\nexports, direct foreign investment and purchase of foreign technical licenses. The\nresults suggest that exports increase significantly technological innovation. In\naddition, we found causality in both ways. Technological innovation increases\nthe probability of exporting. The other two channels; direct foreign investment\nand technical licenses, would be less important, because they only affect a reduced\nnumber of technological innovation indicators.
Author: Roberto Álvarez
Language: English
Topic: Global trade and economics
Domain: Social Sciences
Open Access status: diamond
OpenAlex ID: W2017165615