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This study examines the effect of financial integration on growth, total factor productivity, and capital accumulation using a dynamic panel system‐GMM for a dataset consisting of 43 Asian economies from 1995 to 2015. The impact of de jure financial openness on output, productivity, and capital stock growth is significant, while the effect of de facto financial integration is fuzzy. The disaggregate asset classes (namely, inflows of foreign direct investment and debt) are found to facilitate higher output while derivative inflows yield an undesirable effect. For developing countries, financial openness significantly boosts productivity and capital accumulation while for less developed countries it only enhances productivity. The negative impact of the currency crisis on growth and capital accumulation is found to be significant for more open economies. The currency crisis is more prominent for developed economies, partially effective for less developed countries, and partially ineffective for developing economies in Asia. [ABSTRACT FROM AUTHOR]

Manufacturing productivity has been increasing faster relative to agricultural productivity in a number of Asian countries in recent years. The literature provides two hypotheses for this phenomenon. First, increases in physical capital investment led to manufacturing productivity growth in many Asian countries (Tinakorn and Sussangkarn 1994). Second, greater exposure to trade and foreign direct investment contributed to improvements in manufacturing productivity (Pack and Westphal 1998). Using data from several Asian countries between 1970 and 2005, we find that OLS regressions only support the first hypothesis. However, after we account for the endogeneity between openness and FDI inflows, we find evidence supporting the second hypothesis. These results have various implications for trade and FDI policies. [ABSTRACT FROM AUTHOR]

Summary: Using panel data from the Indonesian manufacturing industry during the Suharto era (1975–95), we assess the impact of plant-level corruption on output and productivity growth. In support of the “grease the wheels” hypothesis and the view of an Asian paradox, we find that corruption, measured as bribes and indirect tax payments, has a positive and statistically significant effect on individual plant growth. This effect persists over the entire period, which suggests improvements in the efficacy of the bribe system and a strengthening of the long-term contract between firms and the government. [Copyright &y& Elsevier]

Knowledge Management (KM) has played a critical role in innovation and technology management-related fields over the past decades. Most KM studies investigate related issues from the perspectives of an organisational or firm-to-firm level. Many firms create and sustain their innovativeness and capability via their counterparts within and across the industry, and their KM activities occur at the industrial level. The members of the KM activities may include firms, research and academic institutes, governments, and even their competitors and clients. This study takes industry as the knowledge base and explores the content of Industry-based Knowledge Managements (IKM) and how it is practiced in Asia. IKM is classified as four modes — knowledge clustering, enlarging, exchanging, and initiating. Some practical IKM cases in Japan, South Korea, China and Taiwan are reviewed to verify the model and to clarify the IKM contents of each mode. Suggestions and directions toward IKM practices and research for the future are given. [ABSTRACT FROM AUTHOR]

Recent contributions to growth theory stress the importance of localized innovation for the performance of more backward countries. In earlier papers, analyses by means of DEA techniques confirmed this intuition. In this paper, we extend this type of analysis by relaxing the macroeconomic viewpoint adopted until now. New databases on output, labor and capital input in the agricultural and manufacturing sectors are developed for 40 countries. Using intertemporal DEA, it is found that changes in the global production frontier are localized at high levels of capital intensity. This result is stronger in agriculture than in manufacturing. Further, a decomposition of labor productivity growth in eight Asian countries for the period 1975-1992 into the effects of capital intensification, learning and innovation is made. The results suggest that there is a particular development path in which increases in capital intensity appear to be a prerequisite to benefit from international technology spillovers. [ABSTRACT FROM AUTHOR]