The Interaction Effect of Economic Quality with Economic Globalization on Technology Spillovers via the Import Channel in Selected Developed and Developing Countries

Document Type : Original Article

Authors

1 Department of Management, Ro.C., Islamic Azad University, Roudehen, Iran

2 Professor, Department of Economics, Faculty of Social Sciences and Economics, Alzahra University, Tehran, Iran

3 Associate Professor, Department of Management, BuZ.C., Islamic Azad University, BuinZahra, Iran

Abstract

Technology spillover through imports allows countries to use new knowledge and technologies to increase productivity, innovation, and competitiveness, and ultimately achieve stable and continuous economic growth. On the other hand, technology spillover through imports is a function of countries' trade and economic policies. For this purpose, the present study, using a panel data approach and the generalized moments method, examines the interactive effect of economic globalization and economic quality indicators (macroeconomic stability, financial stability, productivity and competitiveness, economic dynamism, and labor force participation) on technology spillover through the import channel in two groups of selected developing and developed science-producing countries during the period 2007-2022. The estimated results showed that the individual effect of economic globalization and all economic quality indicators on technology spillover in both groups of selected developing and developed countries studied is positive and significant with different estimated coefficients. In addition, the interaction of economic quality indicators and economic globalization has had a positive and significant effect on technology spillovers in both groups of selected developing and developed countries. In a way that the estimated coefficients of their interaction effect are larger than the estimated coefficients of their individual effect.

Keywords

Main Subjects


Acemoglu, D., & Restrepo, P. (2024). Automation and new tasks: How technology affects labor. Journal of Economic Perspectives, 38(1), 3–30
Acemoglu, D., Aghion, P., & Zivin, C. (2012). Directed technical change: Theory and evidence. Journal of Economic Perspectives, 26(2), 75-100
Arellano, M., & Bond, S. (1991). Some tests of specification for panel data: Monte Carlo evidence and an application to employment equations. Review of Economic Studies, 58(2), 277-297.
Azizi, M., Porhemat, H., & Falsafi, R. (2018). Contractual solutions for enhancement of technology spillover from foreign corporations (Case study: Building industry's projects). Technology Development Management, 6(4), 127-151. (In Persian)
Bakhshi, H., Shahabadi, A., & Khoshtinat, B. (2025). The interactive effect of entrepreneurship and talent competitiveness on attracting technology spillovers through the import channel. International Business Management, Advance online publication. (In Persian)
Bakhshi, H., Shahabadi, A., & Khoshtint, B. (2025). The interactive effect of entrepreneurship and talent competitiveness on the absorption of technology spillovers from the import channel. The Quarterly Journal of International Business Administration, Articles ready for publication, accepted for online publication from 11 June 1404. (In Persian)
Bostan, F., & Karadağ, M. (2025). The effects of international technology spillover channels on innovation performance: An application on Turkish manufacturing industry. Journal of the Knowledge Economy, Published Online: 13 January 2025.
Coe, D. T., & Helpman, E. (1995). International R&D spillovers. European Economic Review, 39(5), 859-887.
Coe, D. T., Helpman, E., & Hoffmaister, A. W. (2008). International R&D spillovers and institution. IMF Working Paper, WP/08/104.
Diachenko, O., Dolynska, O., Hrynenko, I., & Zalievska-Shyshak, A. (2025). The impact of globalization on economic and technological development of countries. Journal of Information Systems Engineering & Management, 10(9S), 52-60.
Farahanifar, F., Hosseini Shakib, M., Khamseh, A., & Hosnavi Atashgah, R. (2021). Identifying and ranking the factors affecting the overflow of defense technologies to commercial businesses. Defence Studies, 19(2), 179-208. Retrieved from https://ds.sndu.ac.ir/article_1470.html (in Persian)
Feng, P. (2012). Technology transfer spillover from FDI-A comprehensive literature review. Advances in Economics, Business and Management Research, 146, 7-11.
Feng, W., & Li, J. (2021). International technology spillovers and innovation quality: Evidence from China. Economic Analysis and Policy, 72(C), 289-308.
Gourinchas, P. O. (2024). The global financial cycle and the resilience of emerging economies. Journal of International Finance and Economics, 15(2), 45-68.
Griliches, Z. (1988). Productivity puzzles and R&D another nonexplanation. Journal of Economic Perspectives, 2, 9-21.
Han, S. (2025). The effectiveness of international knowledge spillover channels in Korea. International Economic Journal, 39(1), 199-218.
Hashemi Dizaj, A., Hassanzadeh, M., & Eshghi, A. (2025). The impact of scientific productivity on technology spillovers from imports of intermediate and capital goods. Quarterly Journal of Quantitative Economics (Formerly Economic Reviews), 22 (2), 242–265. (In Persian)
Islam, M. A. (2013). Impact of inflation on import: An empirical study. International Journal of Economics Finance and Management Sciences, 1(6), 299-309.
Kohpaiboon, A. (2006). Foreign direct investment and technology spillover: A cross-industry analysis of Thai manufacturing. World Development, 34(3), 541-556.
Lee, J., & Kim, H. (2021). The interplay of institutional quality and trade liberalization on the productivity effects of imported technology: A panel analysis. Journal of Economic Development, 46(1), 55-78.
Liu, C., & Guo, Q. (2019). Technology spillover effect in China: The spatiotemporal evolution and its drivers. Sustainability, 11(6), 1694.
Liu, W., Pannell, C., & Liu, H. (2009). The global economic crisis and china's foreign trade. Eurasian Geography and Economics, 50(5), 497-512.
Mousavi, S. A. A., Mohseni, R., & Dashtbani, Y. (2023). Technology spillovers from foreign direct investment and its relationship with entry points with an emphasis on the country's sanctions conditions. Defense Economics and Sustainable Development, 8 (30), 73–91. (In Persian)
Mousavi, S. A., Mohseni, R., & Dashtbani, Y. (2023). Technology spillover from foreign direct investment and its relation with the point of origin of the technology; with an emphasis on sanction conditions. Journal of Defense Economics and Sustainable Development, 8(3), 73-91. (In Persian)
Naji Maydani, A. A., Salimifar, M., & Meshkabadi Mohajer, H. (2013). Studying the dynamic effects of trade globalization on the import of machinery, equipment, tools and metal products industries in Iran. Strategic Studies of Public Policy, 4(13), 103-79. (In Persian)
Naji Meidani, A. A., Salimifar, M., & Meshkabadi Mohajer, H. (2013). Investigating the dynamic effects of trade globalization on imports of machinery, equipment, tools and metal products industries in Iran. Strategic Studies of Public Policy, 4 (13), 79–103. (In Persian)
Neugebauer, J., & Vokoun, M. (2024). Economic and political dynamics of globalization: A review of continuity and change in research focus. International Journal of Economic Sciences, European Research Center, 13(1), 30-57.
Roll, Y., Semyonov, M., & Mandel, H. (2024). Gendered globalization: The relationship between globalization and gender gaps in employment and occupational opportunities. Research in Social Stratification and Mobility, 92, 100930.
Salem, R., & Younis, R. (2020). The Effect of country risk on foreign direct investment: Evidence from Egypt. Scientific Journal for Economic& Commerce, 51(2), 243-276.
Saremi, M. T., & Zakeri, A. (2019). Policies for directing foreign direct investment for technology development. Science and Technology Policy, 12 (2), 395–410. (In Persian)
Saremi, M. T., & Zakery, A. (2019). Policies for enhancing foreign direct investment toward technology development. Science and Technology Policy, 12(2), 410-395. (In Persian)
Sarwar, A., Khan, M.A., Sarwar, Z., & Khan, W. (2021). Financial development, human capital and its impact on economic growth of emerging countries. Asian Journal of Economics and Banking, 5(1), 86-100.
Schiff, M., & Wang, Y. (2010). North-South technology spillovers: The relative impact of openness and foreign R&D. International Economic Journal, 24(2), 197-207.
Sheikhiani, H., Samadi, A. H., Hadian, E., & Rostamzadeh, P. (2018). Technological spillover, value added and resistive economy in Iran: A Computable General Equilibrium Model. Defense Economics and Sustainable Development, 3(8), 34-9. (In Persian)
Shikhyani, H., Samadi, A. H., Hadian, E., & Rostamzadeh, P. (2018). Technology spillover, value added and resistance economy in Iran: A computable general equilibrium model. Defense Economics and Sustainable Development, 3 (8), 9–34. (In Persian)
Wang, M., & Choi, B. (2023). An analysis of the impact of international R&D spillovers and technology innovation in China. Sustainability, 15(3), 1968.
Yuliadi, I., Sari, N. P., Setiawati, S. A. P., & Ismail, S. H. (2024). The effect of exchange rate, inflation, interest rate and import on exports in ASEAN countries. Jurnal Ekonomi & Studi Pembangunan, 25(1), 78-86.