• The Journal of the Korea Contents Association
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• v.16 no.11
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• pp.321-329
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• 2016

The purpose of this study is to analyze the impact of R&D investment on productivity growth of the Korean Economy in the New Normal Era. To be specific, this study focuses on the impact of R&D capital, other capitals, and total factor productivity(TFP) on the labor productivity during the three periods: 1970-2014, 1970-1997, and 1999-2014. We found out that the change of the intensity in the R&D capital and other capitals significantly impacted on the change of the labor productivity in Korea. In particular, the estimated coefficients of these variables are higher after the period of the IMF financial crisis than before the crisis. We also estimated the marginal productivity of R&D capital investment in terms of the TFP growth. The estimated coefficients of the variables showed stronger effects after the period of the IMF financial crisis than before the crisis. As a result, the increase of R&D investment has been greatly impacted on the growth of the total factor productivity(TFP) after the IMF financial crisis in Korea.

• The Journal of Asian Finance, Economics and Business
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• v.6 no.2
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• pp.63-73
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• 2019

The paper aims to investigate relationships between technology and innovation management, total factor productivity and economic growth in China. By comparing the trends in total factor productivity growth of industrialized economies (i.e. OECD), this study intends to showcase the importance of total factor productivity progress in the Chinese economy. The study employs time series data of an annual basis for the period from 1977 to 2016 retrieved from the World Development Indicator. The study employs unit root test, cointegration test, fully modified least squares estimation method, canonical cointegrating regression and dynamic least squares estimation method to test the hypotheses. The results of the cointegrating regression analysis show that manufacturing growth leads to an increase of total factor productivity in the short-run in China. The findings of the study suggest that manufacturing (i.e. technology and product innovation) is positively related to the increase of total factor productivity in the short-run and total output growth in the long-run. The findings suggest that promoting technology and innovation management and supporting R&D subsidies may reduce the marginal cost of conducting R&D and increase the rate of technology and innovation management and R&D activity and therefore, the total factor productivity growth rate.

• Asian-Australasian Journal of Animal Sciences
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• v.25 no.1
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• pp.122-142
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• 2012

The importance of rainfed areas and animal agriculture on productivity enhancement and food security for economic rural growth in Asia is discussed in the context of opportunities for increasing potential contribution from them. The extent of the rainfed area of about 223 million hectares and the biophysical attributes are described. They have been variously referred to inter alia as fragile, marginal, dry, waste, problem, threatened, range, less favoured, low potential lands, forests and woodlands, including lowlands and uplands. Of these, the terms less favoured areas (LFAs), and low or high potential are quite widely used. The LFAs are characterised by four key features: i) very variable biophysical elements, notably poor soil quality, rainfall, length of growing season and dry periods, ii) extreme poverty and very poor people who continuously face hunger and vulnerability, iii) presence of large populations of ruminant animals (buffaloes, cattle, goats and sheep), and iv) have had minimum development attention and an unfinished wanting agenda. The rainfed humid/sub-humid areas found mainly in South East Asia (99 million ha), and arid/semi-arid tropical systems found in South Asia (116 million ha) are priority agro-ecological zones (AEZs). In India for example, the ecosystem occupies 68% of the total cultivated area and supports 40% of the human and 65% of the livestock populations. The area also produces 4% of food requirements. The biophysical and typical household characteristics, agricultural diversification, patterns of mixed farming and cropping systems are also described. Concerning animals, their role and economic importance, relevance of ownership, nomadic movements, and more importantly their potential value as the entry point for the development of LFAs is discussed. Two examples of demonstrated success concern increasing buffalo production for milk and their expanded use in semi-arid AEZs in India, and the integration of cattle and goats with oil palm in Malaysia. Revitalised development of the LFAs is justified by the demand for agricultural land to meet human needs e.g. housing, recreation and industrialisation; use of arable land to expand crop production to ceiling levels; increasing and very high animal densities; increased urbanisation and pressure on the use of available land; growing environmental concerns of very intensive crop production e.g. acidification and salinisation with rice cultivation; and human health risks due to expanding peri-urban poultry and pig production. The strategies for promoting productivity growth will require concerted R and D on improved use of LFAs, application of systems perspectives for technology delivery, increased investments, a policy framework and improved farmer-researcher-extension linkages. These challenges and their resolution in rainfed areas can forcefully impact on increased productivity, improved livelihoods and human welfare, and environmental sustainability in the future.

• Journal of Technology Innovation
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• v.18 no.2
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• pp.91-120
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• 2010

This paper examines the effect of bargaining power over intermediate goods prices on innovation and economic growth using a Schumpeterian growth model. The notion of "intermediate goods prices" broadly indicates the reward to innovators including innovative SMEs as well as intermediate goods producers that are vertically integrated to big businesses. From this viewpoint, this paper sets up a Schumpeterian growth model that incorporates the market power between final goods producers and intermediate goods producers. The results show that the reduction of intermediate goods prices slows down long-run growth rates as it erodes the reward to innovations. Lower intermediate goods prices decrease marginal productivity of capital and real interest rates. However, the harmful effect of lower profits on innovations outweighs the beneficial effect of lower interest rates. Simulations using Korea's data for various cases show that in all cases the policies that raise the share of intermediate goods producers are as powerful as the R&D subsidy policies in raising growth rates. Therefore, fair trade policies that enable intermediate goods producers-especially SMEs to obtain more fruits of innovations will be helpful for long-run economic growth.

• Journal of Technology Innovation
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• v.22 no.1
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• pp.149-175
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• 2014

This study analyzed the effect of corporate innovation strategies on patent production and ultimately on technological change and new product development of firms in South Korea. The intent was to derive efficient strategies for enhancing technological performance of the firms. For the empirical analysis, three sources of data were combined: four waves of the Human Capital Corporate Panel Survey (HCCP) data collected by the Korea Research Institute for Vocational Education and Training (KRIVET), corporate financial data obtained from the Korea Information Service (KIS), and corporate patent data provided by the Korean Intellectual Property Office (KIPO). The patent production function was estimated by zero-inflated negative binomial (ZINB) regression. The technological performance function was estimated by two-stage regression, taking into account the endogeneity of patent production. An ordered logit model was applied for the second stage regression. Empirical results confirmed the critical role of corporate innovation strategies in patent production and in facilitating technological change and new product development of the firms. In patent production, the firms' R&D investment and human resources were key determinants. Higher R&D intensity led to more patents, yet with decreasing marginal productivity. A larger stock of registered patents also led to a larger flow of new patent production. Firms were more prolific in patent production when they had high-quality personnel, intensely investing in human resource development, and adopting market-leading or fast-follower strategy as compared to stability strategy. In technological performance, the firms' human resources played a key role in accelerating technological change and new product development. R&D intensity expedited new product development of the firm. Firms adopting market-leading or fast-follower strategy were at an advantage than those with stability strategy in technological performance. Firms prolific in patent production were also advanced in terms of technological change and new product development. However, the nexus between patent production and technological performance measures was substantially reduced when controlling for the endogeneity of patent production. These results suggest that firms need to strengthen the linkage between patent production and technological performance, and take strategies that address each firm's capacities and needs.

• Journal of Korea Foundry Society
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• v.41 no.2
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• pp.144-152
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• 2021

Based on the analysis of the current state of the world's foundry industry, we looked at the international competitiveness of Korea's foundry industry for the past 20 years. Korea's total foundry production is 2.52 million tons, and the production per company (so-called productivity) is 2,831 tons, which is the eighth largest in the world and down one position for the case of total foundry production, while productivity remains its position compared to three years ago. Korea is the only one of the top 10 foundry to see a decline in production. Similar to the global situation, Korean products consist of 38% of grey csat iron, 31% of ductile cast iron, 15% of aluminum, and 9% of cast steel. In order to obtain statistics on Korea's foundry industry, the survey conducted a service project for approximately nine months from April 2020. Various statistical surveys and sample in-depth surveys by the Korean standard industry class were evaluated for various contents of the domestic casting industry. We also looked at the number of companies, the distribution by region, the number of workers and the percentage of foreigners, and the distribution of each job, as well as the R&D investment status according to the size of the enterprise. Together, sales, exports, sales and various profit ratios were analyzed to measure the earning power of foundry industry. In addition, the classification by grouping the foundry industry according to the process utilized by focusing on each company, and to determine the sales, exports, and yield status for each process was also investigated on the basis. Based on these data, the domestic foundry industry has presented a variety of offers for the following issues for sustainable growth; global ranking, marginal corporate restructuring, training of domestic technical people, differentiated support policies by company size and process.