Date of Graduation
5-2014
Document Type
Thesis
Degree Name
Master of Arts in Economics (MA)
Degree Level
Graduate
Department
Economics
Advisor/Mentor
Gary Ferrier
Committee Member
Cary Deck
Second Committee Member
Andrew Horowitz
Keywords
BRIC(S) Countries, Spillover Effects, Stochastic Frontier Approach, Technical Efficiency
Abstract
This study investigates the technical efficiency of BRIC-countries (Brazil, Russia, India, China) at the disaggregated level of six economic activities using stochastic frontier approach. Technical efficiency scores and efficiency externalities effects of international trade and foreign direct investment inflows are estimated based on the panel of sixteen countries - G20 members - over the period from 1995 to 2009. The results suggest that foreign direct investment is a conduit of the positive technological spillovers in all sectors under analysis. Once controlling for the domestic level of the human capital that captures technology absorptive capacity, the positive effect of the international trade is observed in the industrial sector in general and manufacturing in particular, as well as in trade, hotels and restaurants. The positive impact of the human capital on the level of technical efficiency is significant for all sectors, except for the agriculture, and robust for two different measures of human capital.
Citation
Akimova, A. (2014). Analysis of the BRIC Countries Technical Efficiency Patterns Using Stochastic Frontier Approach. Graduate Theses and Dissertations Retrieved from https://scholarworks.uark.edu/etd/2263