Trade and Innovation in Services : Evidence from a Developing Economy
Studies on innovation and international trade have traditionally focused on manufacturing because neither was seen as important for services. Moreover, the few existing studies on services focus only on industrial countries, although in many develo...
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World Bank, Washington, DC
2013
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Online Access: | http://documents.worldbank.org/curated/en/2013/06/17940726/trade-innovation-services-evidence-developing-economy-trade-innovation-services-evidence-developing-economy http://hdl.handle.net/10986/15879 |
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okr-10986-158792021-04-23T14:03:26Z Trade and Innovation in Services : Evidence from a Developing Economy Iacovone, Leonardo Mattoo, Aaditya Zahler, Andrés ADOPTION OF TECHNOLOGIES BACK-OFFICE BALANCE OF PAYMENTS BUSINESS ACTIVITIES BUSINESS PROCESSES BUSINESS SERVICES COLLABORATION COMMODITIES COMMUNICATIONS TECHNOLOGY COMPETITIVENESS CONFIDENCE CONFIDENTIALITY CUSTOMER SERVICES CUSTOMIZATION CUSTOMS DATA COLLECTION DATA LIMITATIONS DESCRIPTION ECONOMIC ACTIVITY ELECTRICITY ELECTRONIC DELIVERY ENGINEERS EQUIPMENT EXCHANGE RATE EXPORT MARKETS FINANCIAL INVESTMENT FINANCIAL SERVICES FINANCIAL TRANSACTIONS FIXED COSTS FOREIGN INVESTMENT FRONT-OFFICE GOVERNMENT SERVICES HUMAN CAPITAL INDUSTRY PRODUCTIVITY INITIATIVE INNOVATION INTERNATIONAL STANDARDS INTERNATIONAL TRADE INTERNATIONALIZATION JUSTICE LICENSE LICENSE FEES LICENSES MANUFACTURING MANUFACTURING INDUSTRIES MARKET ECONOMIES MARKETING MULTINATIONAL OPEN ACCESS ORGANIZATIONAL INNOVATION OUTSOURCING PDF PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRODUCT DESIGN PRODUCT INNOVATION PRODUCTIVITY QUALITY OF INNOVATION R&D REGIONAL DEVELOPMENT RENTING RESULT RESULTS SERVICES INNOVATION SERVICES INNOVATIONS TECHNOLOGICAL DEVELOPMENTS TECHNOLOGICAL INNOVATION TECHNOLOGICAL INNOVATIONS TRANSACTION WEB tradable services Studies on innovation and international trade have traditionally focused on manufacturing because neither was seen as important for services. Moreover, the few existing studies on services focus only on industrial countries, although in many developing countries services are already the largest sector in the economy and an important determinant of overall productivity growth. Using a recent firm-level innovation survey for Chile to compare the manufacturing and "tradable" services sector, this paper reveals some novel patterns. First, although services firms have on average a much lower propensity to export than manufacturing firms, services exports are less dominated by large firms and tend to be more skill intensive than manufacturing exports. Second, services firms appear to be as innovative as -- and in some cases more innovative than -- manufacturing firms, in terms of both inputs and outputs of "technological" innovative activity, although services innovations more often take a "non-technological" form. Third, services exporters (like manufacturing exporters) tend to be significantly more innovative than non-exporters, with a wider gap for innovations close to the global technological frontier. These findings suggest that the growing faith in services as a source of both trade and innovative dynamism may not be misplaced. 2013-09-26T19:07:23Z 2013-09-26T19:07:23Z 2013-06 http://documents.worldbank.org/curated/en/2013/06/17940726/trade-innovation-services-evidence-developing-economy-trade-innovation-services-evidence-developing-economy http://hdl.handle.net/10986/15879 English en_US Policy Research Working Paper;No. 6520 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Chile |
repository_type |
Digital Repository |
institution_category |
Foreign Institution |
institution |
Digital Repositories |
building |
World Bank Open Knowledge Repository |
collection |
World Bank |
language |
English en_US |
topic |
ADOPTION OF TECHNOLOGIES BACK-OFFICE BALANCE OF PAYMENTS BUSINESS ACTIVITIES BUSINESS PROCESSES BUSINESS SERVICES COLLABORATION COMMODITIES COMMUNICATIONS TECHNOLOGY COMPETITIVENESS CONFIDENCE CONFIDENTIALITY CUSTOMER SERVICES CUSTOMIZATION CUSTOMS DATA COLLECTION DATA LIMITATIONS DESCRIPTION ECONOMIC ACTIVITY ELECTRICITY ELECTRONIC DELIVERY ENGINEERS EQUIPMENT EXCHANGE RATE EXPORT MARKETS FINANCIAL INVESTMENT FINANCIAL SERVICES FINANCIAL TRANSACTIONS FIXED COSTS FOREIGN INVESTMENT FRONT-OFFICE GOVERNMENT SERVICES HUMAN CAPITAL INDUSTRY PRODUCTIVITY INITIATIVE INNOVATION INTERNATIONAL STANDARDS INTERNATIONAL TRADE INTERNATIONALIZATION JUSTICE LICENSE LICENSE FEES LICENSES MANUFACTURING MANUFACTURING INDUSTRIES MARKET ECONOMIES MARKETING MULTINATIONAL OPEN ACCESS ORGANIZATIONAL INNOVATION OUTSOURCING PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRODUCT DESIGN PRODUCT INNOVATION PRODUCTIVITY QUALITY OF INNOVATION R&D REGIONAL DEVELOPMENT RENTING RESULT RESULTS SERVICES INNOVATION SERVICES INNOVATIONS TECHNOLOGICAL DEVELOPMENTS TECHNOLOGICAL INNOVATION TECHNOLOGICAL INNOVATIONS TRANSACTION WEB tradable services |
spellingShingle |
ADOPTION OF TECHNOLOGIES BACK-OFFICE BALANCE OF PAYMENTS BUSINESS ACTIVITIES BUSINESS PROCESSES BUSINESS SERVICES COLLABORATION COMMODITIES COMMUNICATIONS TECHNOLOGY COMPETITIVENESS CONFIDENCE CONFIDENTIALITY CUSTOMER SERVICES CUSTOMIZATION CUSTOMS DATA COLLECTION DATA LIMITATIONS DESCRIPTION ECONOMIC ACTIVITY ELECTRICITY ELECTRONIC DELIVERY ENGINEERS EQUIPMENT EXCHANGE RATE EXPORT MARKETS FINANCIAL INVESTMENT FINANCIAL SERVICES FINANCIAL TRANSACTIONS FIXED COSTS FOREIGN INVESTMENT FRONT-OFFICE GOVERNMENT SERVICES HUMAN CAPITAL INDUSTRY PRODUCTIVITY INITIATIVE INNOVATION INTERNATIONAL STANDARDS INTERNATIONAL TRADE INTERNATIONALIZATION JUSTICE LICENSE LICENSE FEES LICENSES MANUFACTURING MANUFACTURING INDUSTRIES MARKET ECONOMIES MARKETING MULTINATIONAL OPEN ACCESS ORGANIZATIONAL INNOVATION OUTSOURCING PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRODUCT DESIGN PRODUCT INNOVATION PRODUCTIVITY QUALITY OF INNOVATION R&D REGIONAL DEVELOPMENT RENTING RESULT RESULTS SERVICES INNOVATION SERVICES INNOVATIONS TECHNOLOGICAL DEVELOPMENTS TECHNOLOGICAL INNOVATION TECHNOLOGICAL INNOVATIONS TRANSACTION WEB tradable services Iacovone, Leonardo Mattoo, Aaditya Zahler, Andrés Trade and Innovation in Services : Evidence from a Developing Economy |
geographic_facet |
Chile |
relation |
Policy Research Working Paper;No. 6520 |
description |
Studies on innovation and international
trade have traditionally focused on manufacturing because
neither was seen as important for services. Moreover, the
few existing studies on services focus only on industrial
countries, although in many developing countries services
are already the largest sector in the economy and an
important determinant of overall productivity growth. Using
a recent firm-level innovation survey for Chile to compare
the manufacturing and "tradable" services sector,
this paper reveals some novel patterns. First, although
services firms have on average a much lower propensity to
export than manufacturing firms, services exports are less
dominated by large firms and tend to be more skill intensive
than manufacturing exports. Second, services firms appear to
be as innovative as -- and in some cases more innovative
than -- manufacturing firms, in terms of both inputs and
outputs of "technological" innovative activity,
although services innovations more often take a
"non-technological" form. Third, services
exporters (like manufacturing exporters) tend to be
significantly more innovative than non-exporters, with a
wider gap for innovations close to the global technological
frontier. These findings suggest that the growing faith in
services as a source of both trade and innovative dynamism
may not be misplaced. |
format |
Publications & Research :: Policy Research Working Paper |
author |
Iacovone, Leonardo Mattoo, Aaditya Zahler, Andrés |
author_facet |
Iacovone, Leonardo Mattoo, Aaditya Zahler, Andrés |
author_sort |
Iacovone, Leonardo |
title |
Trade and Innovation in Services : Evidence from a Developing Economy |
title_short |
Trade and Innovation in Services : Evidence from a Developing Economy |
title_full |
Trade and Innovation in Services : Evidence from a Developing Economy |
title_fullStr |
Trade and Innovation in Services : Evidence from a Developing Economy |
title_full_unstemmed |
Trade and Innovation in Services : Evidence from a Developing Economy |
title_sort |
trade and innovation in services : evidence from a developing economy |
publisher |
World Bank, Washington, DC |
publishDate |
2013 |
url |
http://documents.worldbank.org/curated/en/2013/06/17940726/trade-innovation-services-evidence-developing-economy-trade-innovation-services-evidence-developing-economy http://hdl.handle.net/10986/15879 |
_version_ |
1764431841405698048 |