The importance of absorptive capacities: productivity effects of international R&D spillovers through intermediate inputs

N. Foster-McGregor, J. Poschl, R. Stehrer*

*Corresponding author for this work

    Research output: Contribution to journalArticleAcademicpeer-review

    4 Citations (Web of Science)


    Trade in goods and services is likely to be an important channel for international knowledge diffusion. This paper considers the extent of R&D spillovers through intermediate inputs for a sample of up to 40 developed and developing countries at the industry level. Results suggest that such spillovers are present and are economically important. We find that countries and industries initially further behind the technological frontier enjoy stronger foreign R&D spillovers. Furthermore, foreign R&D spillovers are stronger in countries with greater absorptive capacity as measured by average years of secondary schooling and R&D spending.
    Original languageEnglish
    Pages (from-to)719-733
    Number of pages15
    JournalEconomics of Innovation and New Technology
    Issue number8
    Publication statusPublished - 2017

    JEL classifications

    • o30 - "Technological Change; Research and Development; Intellectual Property Rights: General"


    • R&D spillovers
    • intermediates trade
    • productivity
    • 2 FACES
    • TRADE
    • GROWTH
    • SAMPLE
    • PANEL

    Cite this