Drivers of Technological Capabilities in Developing Countries: An Econometric Analysis of Argentina, Brazil and Chile

Type Journal Article - Structural Change and Economic Dynamics
Title Drivers of Technological Capabilities in Developing Countries: An Econometric Analysis of Argentina, Brazil and Chile
Author(s)
Volume 23
Issue 4
Publication (Day/Month/Year) 2012
Page numbers 504-515
URL http://host.uniroma3.it/docenti/pietrobelli/publications/Molina_Pietrobelli_SCED 2012 Drivers of​TCs.pdf
Abstract
This paper contributes to the literature that analyses the determinants and measurement of Technological Capabilities (TCs) with empirical evidence on Argentina, Brazil and Chile. Based on the World Bank’s Investment Climate database, the study covers firms from the manufacturing sector. We first construct a Capability Score to provide a preliminary measure of Technological Capabilities at the firm level. We then test it econometrically to explore the determinants of TCs and exports and evaluate their reciprocal relationship through a Two Stage Probit. Our results show that exports and TCs significantly and positively influence each other in some of these countries.

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