OECD Science, Technology and Industry Working Papers

ISSN :
1815-1965 (online)
DOI :
10.1787/18151965
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The OECD Directorate for Science, Technology and Industry (STI) leads OECD research on the contribution of science, technology and industry to well-being and economic growth. STI Working Papers cover a broad range of topics including definition and measurement of science and technology indicators, global value chains, and research on policies to promote innovation. These technical or analytical working papers are prepared by staff or outside consultants to share early insights and elicit feedback.
 

Sources of Knowledge and Productivity

How Robust is the Relationship? You or your institution have access to this content

Authors:
Mosahid Khan1, Kul B. Luintel2
Author Affiliations
  • 1: OECD, France

  • 2: University of Wales, United Kingdom

Publication Date
28 July 2006
Bibliographic information
No:
2006/06
Pages
34
DOI
10.1787/305171346027

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We estimate domestic productivity relationships for a sample of 16 OECD countries through probably the most general specification yet. We identify ten key determinants of productivity - all derived from different theoretical models. Our specification may address the potential problem of omitted variables. The issues of cross-country heterogeneity and endogeneity are addressed. The sources of knowledge appear robust in driving productivity; however, other determinants postulated by different theoretical models are also significant. The productivity relationships are heterogeneous across OECD countries implying that country-specific factors may play an important role in domestic productivity policy.
Keywords:
dynamic heterogeneity, sources of knowledge, methods of moments
JEL Classification:
  • C15: Mathematical and Quantitative Methods / Econometric and Statistical Methods and Methodology: General / Statistical Simulation Methods: General
  • F12: International Economics / Trade / Models of Trade with Imperfect Competition and Scale Economies
  • F2: International Economics / International Factor Movements and International Business
  • O3: Economic Development, Technological Change, and Growth / Technological Change; Research and Development; Intellectual Property Rights
  • O4: Economic Development, Technological Change, and Growth / Economic Growth and Aggregate Productivity