R&D, Innovation and Knowledge Spillovers: A Reappraisal of Bottazzi and Peri (2007) in the Presence of Cross-Sectional Dependence
Version of Record online: 14 APR 2014
Copyright © 2014 John Wiley & Sons, Ltd.
Journal of Applied Econometrics
Volume 30, Issue 2, pages 350–352, March 2015
How to Cite
2015), R&D, Innovation and Knowledge Spillovers: A Reappraisal of Bottazzi and Peri (2007) in the Presence of Cross-Sectional Dependence, J. Appl. Econ., 30, pages 350–352. doi: 10.1002/jae.2392, , and (
- Issue online: 2 MAR 2015
- Version of Record online: 14 APR 2014
- Manuscript Accepted: 13 FEB 2014
- Manuscript Revised: 17 JAN 2014
- Manuscript Received: 30 APR 2013
Bottazzi and Peri (Economic Journal 2007; 117: 486–511) show the existence of a cointegrating relationship between the domestic stock of knowledge, domestic R&D and the international knowledge stock for a panel of OECD countries and interpret it as evidence supporting the semi-endogenous versus the endogenous growth theory. We replicate the baseline specification of their study and we show that main results are robust to the use of a different estimation strategy (Bai et al., Journal of Econometrics 2009; 149: 82–99) that duly takes into account cross-sectional correlation: interestingly, in this case we also find a larger role for knowledge spillovers. Copyright © 2014 John Wiley & Sons, Ltd.