As part of the CBP seminar series, Dr Liza Jabbour (University of Birmingham) will provide a presentation on ‘Eco International Technological Collaboration along Global Value Chains: Evidence from OECD countries’. This is a joint work with Rob Elliott and Yiran Su (a PhD candidate at BBS

Abstract

This paper assesses the impact of global value chains (GVCs) linkages on the international co-innovation of green technologies. The analysis is conducted using patent data and GVCs related data for 36 OECD members and the five largest trade partners of OECD; Brazil, China, India, Indonesia and South Africa, for the period 2005 to 2018. We associate international technological innovation with the co-invention of patents and apply a gravity model to assess the relationship between bilateral GVC links and bilateral co-innovation. Our measures of GVC links include trades in intermediates products, trades in final products, total bilateral exports, the domestic value-added (DVA) content of gross exports, the DVA embodied in the final international demand and the origin value-added (OVA) embodied in international exports. To briefly summarise out results, we find that exports in intermediate products, the DVA content of gross exports, DVA embodied in foreign ultimate demand, and the OVA embodied in foreign exports positively influence eco co-innovation. These findings imply that the value added embodied in trade flows leads to greater bilateral eco co-innovation. Specifically, 1% increase in the export of the DVA content of total  exports, DVA embodied in foreign ultimate demand and the OVA embodied in foreign exports will increase the eco-innovation by 1.503, 1.780 and 1.786 units on average, respectively. However, there is no evidence showing that the direct trade of final products has any impact on cooperation in eco-innovation.

 

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