Skip to main content

Advertisement

Log in

Industrial and Spatial Spillovers and Productivity Growth: Evidence from Taiwan High-Technology Plant Level Data

  • Published:
Journal of Productivity Analysis Aims and scope Submit manuscript

Abstract

The purpose of this paper is to recognize the importance of innovation networks and incorporate various types of knowledge and spatial spillovers and their associated adjustments on productivity growth. We explore the temporal, spatial, and industrial/sectoral spillovers using a dynamic external spillover model that assumes each firm derives an optimal plan such that the expected present value of current and future cost streams is minimized. The goal is to measure and evaluate various types of spillover mechanisms, which allow us both to quantify their cost effects and evaluate the contribution of such inter-dependencies on productive performance.

This is a preview of subscription content, log in via an institution to check access.

Access this article

Price excludes VAT (USA)
Tax calculation will be finalised during checkout.

Instant access to the full article PDF.

Similar content being viewed by others

References

  • Z. Acs D. B. Audretsch M. P. Feldman (1994) ArticleTitle‘‘R & D Spillovers and Recipient Firm Size’‘ The Review of Economics and Statistics 76 IssueID2 336–340

    Google Scholar 

  • D. J. Adams (1999) ArticleTitle‘‘The Structure of Firm R & D, The Factor Intensity of Production, and Skill Bias’‘ The Review of Economics and Statistics 81 IssueID3 499–510

    Google Scholar 

  • J. I. Bernstein (1988) ArticleTitle‘‘Cost of Production, Intra- and Inter-industry R & D Spillovers: Canadian Evidence’‘ Canadian Journal of Economics 21 324–347

    Google Scholar 

  • J. I. Bernstein P. Mohnen (1998) ArticleTitleInternational R & D Spillovers between U.S. and Japanese R & D Intensive Sectors Journal of International Economics 44 IssueID2 315–338

    Google Scholar 

  • J. I. Bernstein M. I. Nadiri (1988) ArticleTitle‘‘Inter-industry R & D Spillovers, and the Rates of Return and Production in High-Tech Industries’‘ American Economic Review 78 IssueID2 429–434

    Google Scholar 

  • J. I. Bernstein M. I. Nadiri (1989) ArticleTitle‘‘Research and Development and Intra-industry Spillover: An Empirical Application of Dynamic Duality’‘ Review of Economic Studies 56 IssueID2 249–269

    Google Scholar 

  • L. Branstetter (2001) ArticleTitle‘‘Are Knowledge Spillovers International or Intranational in Scope?: Microeconometric Evidence from Japan and the United States’‘ Journal of International Economics 53 IssueID1 53–79

    Google Scholar 

  • D. Chen (2000) ArticleTitle‘‘Development of the Industrial Network Between Taiwan’s Venture Capital Companies and Integrated-Circuit Companies’‘ Taiwan Sociology Review 28 1–64

    Google Scholar 

  • M. Denny M. A. Fuss L. Waverman (1981) Substitution Possibilities for Energy: Evidence from U.S.and Canadian Manufacturing Industries E. Berndt B. Field (Eds) Measuring and Modeling Natural Resource Substitution MIT Press Cambridge MA

    Google Scholar 

  • L. G. Epstein A. Yatchew (1985) ArticleTitle‘‘The Empirical Determination of Technology and Expectations: A Simplified Procedure’‘ Journal of Econometrics 27 235–258

    Google Scholar 

  • M. P. Feldman (1994) The Geography of Innovation Kluwer Academic Publishers Dordrecht

    Google Scholar 

  • Z. Griliches (1979) ArticleTitle‘‘Issues in Assessing the Contributions of Research and Development to Productivity Growth’‘ Bell Journal of Economics 10 92–116

    Google Scholar 

  • Z. Griliches (1986) ArticleTitle‘‘Productivity, R & D and Basic Research at the Firm Level in the 1970’s’‘ American Economic Review 76 141–154

    Google Scholar 

  • B. K. Goodwin G. W. Brester (1995) ArticleTitle‘‘Structural Change in Factor Demand Relationships in the U.S Food and Kindred Products Industry’’. American Journal of Agricultural Economics 77 IssueID1 1044–1055

    Google Scholar 

  • G. Grossman E. Helpman (1991) ArticleTitle‘‘Comparative Advantage and Long Run Growth’‘ American Economic Review 80 796–815

    Google Scholar 

  • A. B. Jaffe (1989) ArticleTitle‘‘Real Effects of Academic Research’‘ American Economic Review 79 IssueID5 957–970

    Google Scholar 

  • S. Ke M. I. Luger (1996) ArticleTitle‘‘Embodied Technological Progress, Technology-Related Producer Inputs, and Regional Factors in a Firm-Level Model of Growth’‘ Regional Science and Urban Economics 26 IssueID1 23–50

    Google Scholar 

  • P. Krugman (1991) ArticleTitle‘‘Increasing Returns and Economic Geography’‘ Journal of Political Economy 99 IssueID3 483–499

    Google Scholar 

  • D. P. Madan I. R. Prucha (1989) ArticleTitle‘‘A Note on the Estimation of Nonsymmetric Dynamic Factor Demand Model’‘ Journal of Econometrics 42 275–283

    Google Scholar 

  • W. Ma (2000) ArticleTitle‘‘The Research of Vertical Separation of Taiwan’s IC Industries, 1993–1998’‘ Journal of Technology Management 5 IssueID2 1–20

    Google Scholar 

  • T. P. Mamuneas (1999) ArticleTitle‘‘Spillovers from Publicly Financed R & D Capital in High-Tech Industries’‘ International Journal of Industrial Organization 17 IssueID2 215–239

    Google Scholar 

  • P. A. Mohnen M. I. Nadiri I. R. Prucha (1986) ArticleTitle‘‘R & D Production Structure and Rates of Return in the U.S., Japanese and German Manufacturing Sectors’‘ European Economic Review 30 749–771

    Google Scholar 

  • Nadiri, M.I. and I.R. Prucha (1990a), ‘‘Comparison and Analysis of Productivity Growth and R&D Investment in the Electrical machinery Industries of the United States and Japan’’, in Productivity Growth in Japan and the United States (ed.) C.R. Hulten, University of Chicago Press.

  • M. I. Nadiri I. R. Prucha (1990b) ArticleTitle‘‘Dynamic Factor Demand Models, Productivity Measurement, and Rates of Return: Theory and Application to the US Bell System’‘ Structural Change and Economic Dynamics 1 IssueID2 263–289

    Google Scholar 

  • M. I. Nadiri I. R. Prucha (1996) ArticleTitle‘‘Estimation of the Depreciation Rate of Physical and R & D Capital in the U.S Total Manufacturing Sector’’. Economic Inquiry 34 IssueID1 43–56

    Google Scholar 

  • Nadiri, M. I. and I. R. Prucha. (1999). ‘‘Dynamic Factor Demand Models and Productivity Analysis’’. NBER working paper, 7079.

  • R. Nelson (1982) ArticleTitle‘‘The Role of knowledge in R&D Efficiency’‘ Quarterly Journal of Economics 97 453–470

    Google Scholar 

  • J. R. Norsworthy D. H. Tsai (1998) Macroeconomic Policy as Implicit Industrial Policy: Its Industry and Enterprise Effects Kluwer Academic Publishers Boston/Dordrecht/London

    Google Scholar 

  • C. J. M. Paul D. S. Siegel (1999) ArticleTitle‘‘Scale Economies and Industry Agglomeration Externalities: A Dynamic Cost Function Approach’‘ American Economic Review 89 IssueID1 272–290

    Google Scholar 

  • P. M. Romer (1986) ArticleTitle‘‘Increasing Return and Long-Run Growth’‘ Journal of Political Economy 94 1002–1037

    Google Scholar 

  • P. M. Romer (1990) ArticleTitle‘‘Endogenous Technological Change’‘ Journal of Political Economy 98 71–102

    Google Scholar 

  • Saxenian, A. and J. Hsu. (1999). ‘‘The Silicon Valley-Hsinchu Connections: Technical Communities and Industrial Upgrading’’. SIEPR working paper, Stanford University.

  • S. Srinivasan (1996) ‘‘Estimation of Own R&D Spillovers and Exogeneous Technical Change Effects in U.S. High-Technology Industries’‘ University of Southampton Discussion papers MA

    Google Scholar 

  • K. Suzuki (1993) ArticleTitle‘‘R & D Spillovers and Technology Transfer among and within Vertical Keiretsu Groups: Evidence from the Japanese Electrical Machinery Industry’‘ International Journal of Industrial Organization 11 573–591

    Google Scholar 

  • Tsai H. A. Diana Tze-GanChen (2002) ArticleTitle‘‘Dynamic Adjustments of the Intra- and Inter-Industry R & D Spillovers: Evidence from Taiwanese Electronics Plant Level Data’‘ Journal of Social Sciences and Philosophy 14 IssueID3 289–327

    Google Scholar 

  • Zucker, G. L. and M. R. Darby. (1998). ‘‘CapturingTechnological Opportunity via Japan’s Star Scientists: Evidence from Japanese Firms’ Biotech Patents and Products.’‘NBER workingpaper, 6360.

Download references

Author information

Authors and Affiliations

Authors

Corresponding author

Correspondence to Diana H. A. Tsai.

Additional information

JEL Classification: D2, L6, O3

Rights and permissions

Reprints and permissions

About this article

Cite this article

Tsai, D.H., Lin, M. Industrial and Spatial Spillovers and Productivity Growth: Evidence from Taiwan High-Technology Plant Level Data. J Prod Anal 23, 109–129 (2005). https://doi.org/10.1007/s11123-004-8550-4

Download citation

  • Issue Date:

  • DOI: https://doi.org/10.1007/s11123-004-8550-4

Keywords

Navigation