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on Industrial Organization |
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Issue of 2005‒12‒14
two papers chosen by |
| By: | Mariano Bosch (The World Bank); Daniel Lederman (The World Bank); William F. Maloney (The World Bank) |
| Abstract: | Using a new global data base on patents and innovation inputs, the authors examine the process of knowledge creation measured by the dynamic relationship between research and development and U.S. patents granted. They confirm at the country level the recurrent micro-level finding of a strong relationship between the two and estimate the OECD elasticity to be effectively equal to one. This conflicts with the frequent micro-level finding of strongly diminishing returns in knowledge generation and suggests the importance of knowledge spillover effects measurable only at the aggregate level. Developing countries, however, do show diminishing returns. The authors then explain the differences in spillovers between the OECD and developing countries by testing for the impact of measures of the functioning of the national innovation system-the set of institutions and agents that create and disseminate knowledge. Across the entire sample education, security of intellectual property rights, and in some specifications, the quality of research institutions and their interaction with the private sector, affect the transformation of research and development into patents. |
| Keywords: | Private sector development, Macroeconomics and growth |
| Date: | 2005–10–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wbrwps:3739&r=ind |
| By: | John Cubbin (City University); John Stern (London Business School) |
| Abstract: | The authors assess for 28 developing countries over the period 1980-2001 whether the existence of a regulatory law and higher quality regulatory governance are significantly associated with superior electricity outcomes. Their analysis draws on theoretical and empirical work on the impact of independent central banks and of developing country telecommunications regulators. The authors' empirical analysis concludes that a regulatory law and higher quality governance are positively and significantly associated with higher per capita generation capacity levels. In addition, this positive impact continues to increase for at least three years and probably for over 10 years as experience develops and regulatory reputation grows. The results are robust to alternative dynamic specifications and show no sign of any significant endogeneity. |
| Keywords: | Infrastructure, Governance |
| Date: | 2005–03–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wbrwps:3535&r=ind |