International Technology Diffusion and Productivity Change in the Turkish Manufacturing Sector* (original) (raw)

Most new technologies are created in developed countries. In developing countries, contacts with the outside world, research and development (R&D), human capital, and technology diffusion play important roles in increasing innovation and productivity. Using panel data from manufacturing sectors from 2009 to 2014, this study examines the impact of various channels of technology diffusion, R&D, and human capital on labour productivity change in Turkey. According to the estimation results, the technology gap has had a positive effect on productivity change. This suggests a rapid adaptation to technology, and it may be a sign of future convergence with the technological frontier. Export intensity, improves technology transfer rate. Increase in export intensity is found to increase productivity change for the following year; and, increase in import penetration on productivity change is found to be positive in the current year and in the subsequent years. The impacts of foreign direct inv...