Abstract
Under the background of global economic integration, the technology spillover effect is playing a more and more important role in the technological progress of developing countries. In this circumstance, this paper conducted an in-depth analysis on the 12-year spatial-temporal evolution of the international technology spillover effect and its driving determinants in China during the period of 2003 to 2014. Analytical results highlighted that: (1) As a whole, the international technology spillover effect in general has shown an upward trend in China, except in 2008 and 2012, which are observed as deep-V plunge variations. The plunge in 2008 was more dramatic. After 2011, the growth rate of international technology spillover effect from international import trade and foreign direct investment (FDI) respects slowed obviously down. (2) The spatial distribution of the international technology spillover effect from FDI in China transferred from the ribbon-like pattern to the flake-like pattern, while the effect from import trade held steady with little difference in regional spatial distribution. (3) From the drivers, human capital, economic development, trade openness, and institutional factors promoted the technological spillover effect of import trade channels positively, and financial development, human capital, economic development, and institutional factors promoted the technological spillover effect of FDI channels positively.
Highlights
To date, capital accumulation and technological advancement are the two main driving forces of economic growth
(2) The spatial distribution of the international technology spillover effect from foreign direct investment (FDI) in China transferred from the ribbon-like pattern to the flake-like pattern, while the effect from import trade held steady with little difference in regional spatial distribution
The parameter estimations of human capital in 2003 and 2006 were not significant, but it passed the significant level test of 5% in 2010 and 2014, with a gradually increasing estimation coefficient. This shows that the impact of the increase in the technology absorption capacity brought about by the human capital improvement on the technology spillover effect of the import channel becomes more important over time
Summary
Capital accumulation and technological advancement are the two main driving forces of economic growth. In the knowledge-based era, technological progress plays an increasingly important role in the economic growth of developing countries, in which technological advances depend on their research and development (R&D) capability and absorption of all possible technology spillovers. The technological advances of developing countries mainly rely on the absorption of technology spillovers from developed countries. International technology spillover refers to the externalities that foreign research and development activities exert on their own countries through a verity of commercial activities, such as international trade and investment. One is brought by FDI, that is, multinational corporations take use of their technological and capital advantages in the home country to set up or merge enterprises in the host country, which will promote knowledge and technology spillover. The other is international import trade that can bring about international spillovers of technological and knowledge information
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