Knowledge, technological convergence and economic growth: a dynamic panel data analysis of Middle East and North Africa and Latin America

Abstract

This paper aims to investigate the role of various knowledge indicators, such as research and development, information and communication technologies and trade, in the economic growth and convergence performance of 17 Middle East and North Africa (MENA) countries and 17 Latin American countries (LACs) during the 1980–2014 period, by utilizing dynamic panel data techniques like the pooled mean group estimation method. Our results indicate that knowledge variables seem to play an important role in the economic growth performances of both regions and, overall, there is a significant convergence among the countries in MENA and LACs. Nevertheless, our main finding is that the impact of the knowledge indicator in Latin American countries is weaker compared to the MENA region.