Heterogeneous Technology Diffusion and Ricardian Trade Patterns

Migration and trade are often linked through ethnic networks boosting bilateral trade. This study uses migration to quantify the importance of Ricardian technology differences for international trade. The framework provides the first panel estimate...

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Main Author: Kerr, William R.
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2017
Subjects:
Online Access:http://documents.worldbank.org/curated/en/780211491839158726/Heterogeneous-technology-diffusion-and-Ricardian-trade-patterns
http://hdl.handle.net/10986/26372
id okr-10986-26372
recordtype oai_dc
spelling okr-10986-263722021-06-08T14:42:48Z Heterogeneous Technology Diffusion and Ricardian Trade Patterns Kerr, William R. TECHNOLOGY TRANSFER TRADE PATTERNS COMPARATIVE ADVANTAGE INNOVATION RESEARCH AND DEVELOPMENT IMMIGRATION PATENTS ETHNIC NETWORKS Migration and trade are often linked through ethnic networks boosting bilateral trade. This study uses migration to quantify the importance of Ricardian technology differences for international trade. The framework provides the first panel estimates connecting country-industry productivity and exports, and the study exploits heterogeneous technology diffusion from immigrant communities in the United States for identification. The latter instruments are developed by combining panel variation on the development of new technologies across US cities with historical settlement patterns for migrants from countries. The instrumented elasticity of export growth on the intensive margin with respect to the exporter's productivity growth is between 1.6 and 2.4, depending upon weighting. This provides an important contribution to the trade literature of Ricardian advantages, and it establishes a connection of migration to home country exports beyond bilateral networks. 2017-04-13T20:34:12Z 2017-04-13T20:34:12Z 2017-04 Working Paper http://documents.worldbank.org/curated/en/780211491839158726/Heterogeneous-technology-diffusion-and-Ricardian-trade-patterns http://hdl.handle.net/10986/26372 English en_US Policy Research Working Paper;No. 8027 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper United States
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 TECHNOLOGY TRANSFER
TRADE PATTERNS
COMPARATIVE ADVANTAGE
INNOVATION
RESEARCH AND DEVELOPMENT
IMMIGRATION
PATENTS
ETHNIC NETWORKS
spellingShingle TECHNOLOGY TRANSFER
TRADE PATTERNS
COMPARATIVE ADVANTAGE
INNOVATION
RESEARCH AND DEVELOPMENT
IMMIGRATION
PATENTS
ETHNIC NETWORKS
Kerr, William R.
Heterogeneous Technology Diffusion and Ricardian Trade Patterns
geographic_facet United States
relation Policy Research Working Paper;No. 8027
description Migration and trade are often linked through ethnic networks boosting bilateral trade. This study uses migration to quantify the importance of Ricardian technology differences for international trade. The framework provides the first panel estimates connecting country-industry productivity and exports, and the study exploits heterogeneous technology diffusion from immigrant communities in the United States for identification. The latter instruments are developed by combining panel variation on the development of new technologies across US cities with historical settlement patterns for migrants from countries. The instrumented elasticity of export growth on the intensive margin with respect to the exporter's productivity growth is between 1.6 and 2.4, depending upon weighting. This provides an important contribution to the trade literature of Ricardian advantages, and it establishes a connection of migration to home country exports beyond bilateral networks.
format Working Paper
author Kerr, William R.
author_facet Kerr, William R.
author_sort Kerr, William R.
title Heterogeneous Technology Diffusion and Ricardian Trade Patterns
title_short Heterogeneous Technology Diffusion and Ricardian Trade Patterns
title_full Heterogeneous Technology Diffusion and Ricardian Trade Patterns
title_fullStr Heterogeneous Technology Diffusion and Ricardian Trade Patterns
title_full_unstemmed Heterogeneous Technology Diffusion and Ricardian Trade Patterns
title_sort heterogeneous technology diffusion and ricardian trade patterns
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/780211491839158726/Heterogeneous-technology-diffusion-and-Ricardian-trade-patterns
http://hdl.handle.net/10986/26372
_version_ 1764461820192489472