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- W2105416145 abstract "This paper puts Samuelson’s (JEP, 2004) argument that technical progress of the trade partner may create net-losses for the home country to the empirical test. First we examine in a simple Ricardian model situations where the exchange of goods also constitutes a partial export of the technology used to produce these goods, i.e. knowledge diusion. Within this framework Samuelson’s Act II eect may occur. Secondly, based on industry data of ten manufacturing sectors of seventeen OECD countries for the period 1973 to 2000 we test if export and outward FDI are significant channels for knowledge diusion. The estimations have been carried out using a feasible GLS (FGLS) estimator with a correction for panel specific first order autocorrelation and panel heteroskedasticity. Our results show that exports and outward FDI are significant channels for diusion of domestic knowledge to trade partners and FDI receiving countries. Thirdly, as expected we find that this outflow of domestic knowledge has a negative impact on industry output of the source country." @default.
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- W2105416145 date "2007-01-01" @default.
- W2105416145 modified "2023-09-26" @default.
- W2105416145 title "Can trade hurt? A follow-up on Samuelson's controversial paper" @default.
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