ITO Banri
Department Aoyama Gakuin University Department of Economics, College of Economics Position Professor |
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Language | English |
Publication Date | 2008 |
Type | Academic Journal |
Peer Review | Peer reviewed |
Title | Intra-firmTechnology Transfer and R&D in Foreign Affiliates: Substitutes or Complements? Evidence from Japanese Multinational Firms |
Contribution Type | Collaboration |
Journal | Journal of the Japanese and International Economies |
Journal Type | Another Country |
Volume, Issue, Page | pp.310-319 |
Author and coauthor | Rene Belderbos, Banri Ito and Ryuhei Wakasugi |
Details | R&D in foreign affiliates and technology transferred from their parent firms are important potential drivers of productivity in host countries. In this paper we examine the simultaneous impact of local R&D and intra-firm international technology transfer on productivity growth in foreign affiliates. We estimate a dynamic productivity model on a large sample of Japanese manufacturing affiliates worldwide in 1996-1997 and 1999-2000. We find that both affiliate R&D and intra-firm technology transfer contribute to productivity growth, while technology transfer exhibits decreasing marginal returns. The two sources of technology are complements: use of one source of technology increases the marginal impact of the other. |