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Full Access Measurement of Technology Spillovers

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Measurement of Technology Spillovers

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image of Frontiers of Economics in China

This paper builds an externality-based model with physical and R&D capital, proves the linearity of technology functions, and derives two measures of spillovers from the relative differences between social and private rates of return. China's regional empiric studies exhibit a reverse direction of spillovers between foreign invested firms and local economy and provide an estimation of the spillover measures of between 13% and 18%.


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