Foreign technology acquisition policy and firm performance in Japan, 1957-1970: Micro-aspects of industrial policy

Kozo Kiyota, Tetsuji Okazaki

Research output: Contribution to journalArticle

18 Citations (Scopus)

Abstract

We examine the determinants and effects of technology acquisition licensing using firm-level data between 1957 and 1970. Our results indicate that in technology acquisition licensing, the government screened a firm's application based on (i) the industry that the firm belonged to and (ii) its past experience of technology acquisition. As a result, inefficient firms with considerable experience tended to acquire more technologies before deregulation. Despite this screening process, the technology acquisition policy contributes to improve a firm performance: The firms with acquired technology succeeded in capital accumulation, which results in much faster growth of labor productivity.

Original languageEnglish
Pages (from-to)563-586
Number of pages24
JournalInternational Journal of Industrial Organization
Volume23
Issue number7-8
DOIs
Publication statusPublished - 2005 Sep 1
Externally publishedYes

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Keywords

  • Industrial policy
  • Productivity
  • Technology

ASJC Scopus subject areas

  • Industrial relations
  • Aerospace Engineering
  • Economics and Econometrics
  • Economics, Econometrics and Finance (miscellaneous)
  • Strategy and Management
  • Industrial and Manufacturing Engineering

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