Patents, foreign direct investment and economic growth in Australia, 1860–2010
Publication Name
Asia-Pacific Economic History Review
Abstract
We examine the long run relationship between innovation and economic development in Australia, using 150 years of data on patenting activity, and aggregate and sectoral economic indicators. Our initial results point to several important causal relationships, particularly the effects of patents on real GDP and of private capital formation on patents. We delve deeper at the sector level and find important causal relationships of patents with real foreign direct investment (FDI) since World War II. Australia's dependence on FDI for private capital formation served as an important stimulus for knowledge creation in key sectors including manufacturing, agriculture and mining.
Open Access Status
This publication may be available as open access
Volume
63
Issue
3
First Page
382
Last Page
410