What do we know about the relationship between innovation and productivity among firms? The workhorse model of this relationship is presented and the implications of analysis using this model and the usually available data on product and process innovation are derived. The recent empirical...

This paper studies productivity in Latin America and the Caribbean, with an emphasis on the service sector. It shows that the low levels of productivity observed in the region are not only a consequence of low productivity at the firm level, but also of misallocation of workers across firms....

In this paper, we undertake a comparative study of the performance of local and foreign competitors’ manufacturing firms in a FDI-recipient region—Guangdong Province, China—and analyzes the policy implications of the comparison for the advanced, FDI-outflow region—Hong Kong Special...

We review the econometric literature on measuring the returns to R&D. The theoretical frameworks that have been used are outlined, followed by an extensive discussion of measurement and econometric issues that arise when estimating the models. We then provide a series of tables summarizing the...

This paper reports the findings of an empirical study on the external effects of Information and Communication Technologies (ICT) on economic growth and productivity at an aggregate level. It focuses on possible network effects and spillovers emerging as externalities from investments in ICT....

This paper analyses and compares the determinants of innovation in the service industry and its impact on labour productivity at the firm level in three countries of Latin America Chile, Colombia, and Uruguay. The main findings show that, similar to what is observed in the manufacturing...

The recent expansion of global demand for natural resources has created a production boom in countries endowed with natural resources. Increasing global trade and investment - globalization - offer an important opportunity for developing countries as the global flow of commodities often...

This paper investigates the influence of human resource management on learning from internal and external sources of knowledge. Learning for innovation is a key ingredient of catching-up processes. The analysis builds on survey data about pharmaceutical firms in Mexico. Results show that the...

The nature of the catching-up process has changed substantially at both the global and local levels over the last decade. The catching up process can no longer be disentangled from the rapid internationalization of science and technology and the globalization of innovation, in which the...

This chapter discusses general patterns of internationalization of Brazilian firms. It highlights the main determinants for internationalization, the main destinations, as well as the modes of entry that Brazilian firms employ overseas. The paper also discusses some aspects related to the...