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DESCRIPTION:The Moynihan Institute’s Trade\, Development\, and Political Ec
 onomy Program presents a talk by Reshad Ahsan.&nbsp\;Successful innovation
  depends on the stock of knowledge that innovators have access to. Yet\, e
 mpirical analysis of the impact of import competition on innovation abstra
 cts from such knowledge access. We address this gap in the literature by d
 rawing upon the universe of patent applications in India between 1995 and 
 2006\, which we map to a spatially granular level. We use this original da
 taset to provide the first evidence of how knowledge access affects the im
 port competition and innovation relationship. We find that\, on average\, 
 import competition from China lowers innovation. However\, firms with suff
 iciently high knowledge access innovate more: a firm with the 80th percent
 ile value of knowledge access increases its patents by 3.28 percent after 
 experiencing a 10 percent increase in Chinese imports. These results sugge
 st that the pre-existing spatial distribution of innovators is an importan
 t determinant of how import competition will affect innovation.Reshad Ahsa
 n is an associate professor of economics at the University of Melbourne. H
 is research interests are at the intersection of international trade and d
 evelopment economics with a particular focus on studying the labor-market 
 effects of trade in developing countries.
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SUMMARY:Reshad Ahsan: Import Competition\, Knowledge Access\, and Innovatio
 n
UID:RFCALITEM639117165517931337
X-ALT-DESC;FMTTYPE=text/html:<div><p>The Moynihan Institute’s Trade\, Devel
 opment\, and Political Economy Program presents a talk by Reshad Ahsan.&nb
 sp\;</p><p><span style="background-color: rgba(0\, 0\, 0\, 0)\; color: inh
 erit\; font-family: inherit\; font-size: inherit\; text-align: inherit\; t
 ext-transform: inherit\; word-spacing: normal\; caret-color: auto\; white-
 space: inherit">Successful innovation depends on the stock of knowledge th
 at innovators have access to. Yet\, empirical analysis of the impact of im
 port competition on innovation abstracts from such knowledge access. We ad
 dress this gap in the literature by drawing upon the universe of patent ap
 plications in India between 1995 and 2006\, which we map to a spatially gr
 anular level. </span><span style="background-color: rgba(0\, 0\, 0\, 0)\; 
 color: inherit\; font-family: inherit\; font-size: inherit\; text-align: i
 nherit\; text-transform: inherit\; word-spacing: normal\; caret-color: aut
 o\; white-space: inherit">We use this original dataset to provide the firs
 t evidence of how knowledge access affects the import competition and inno
 vation relationship. </span></p><p><span style="background-color: rgba(0\,
  0\, 0\, 0)\; color: inherit\; font-family: inherit\; font-size: inherit\;
  text-align: inherit\; text-transform: inherit\; word-spacing: normal\; ca
 ret-color: auto\; white-space: inherit">We find that\, on average\, import
  competition from China lowers innovation. However\, firms with sufficient
 ly high knowledge access innovate more: a firm with the 80th percentile va
 lue of knowledge access increases its patents by 3.28 percent after experi
 encing a 10 percent increase in Chinese imports. These results suggest tha
 t the pre-existing spatial distribution of innovators is an important dete
 rminant of how import competition will affect innovation.</span></p></div>
 <div><p>Reshad Ahsan is an associate professor of economics at the Univers
 ity of Melbourne. His research interests are at the intersection of intern
 ational trade and development economics with a particular focus on studyin
 g the labor-market effects of trade in developing countries.</p></div>
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