International spillovers of knowledge and sectoral productivity growth: Some evidence for Canada and the United States
Journal of International Economics , Volume 40 - Issue 3-4 p. 299- 321
This paper develops and tests a two-country model of a monopolistically competitive industry in which the production function shifts endogenously via national and international spillovers of knowledge. The basic version of this model implies that, in the long run, the growth rate of sectoral productivity is the same in each country. In support of this version, for a number of matched Canadian and US manufacturing industries, the paper finds that these two countries' rates of sectoral productivity growth tend to converge despite marked international differences in R and D.
|Endogenous productivity growth, R and D spillovers|
|Journal of International Economics|
|Organisation||Department of Economics|
Brecher, R.A, Choudhri, E.U, & Schembri, L.L. (Lawrence L.). (1996). International spillovers of knowledge and sectoral productivity growth: Some evidence for Canada and the United States. Journal of International Economics, 40(3-4), 299–321. doi:10.1016/0022-1996(95)01406-3