The impact of technology imports on technology balance of payments in Korea: an ARDL bounds testing approach

ABSTRACT

This study empirically analyses the impact of technology imports on the technology balance of payments in Korea during 1981–2013 using the autoregressive distributed lag bounds testing approach of co-integration. We estimate the long- and short-run coefficients of the technology balance of payments with respect to technology imports. The results show that technology imports produce positive effects on the technology balance of payments in the long run, although it has negative effects in the short run.

KEYWORDS:

• Technology imports
• technology balance of payments
• ARDL
• ECM

JEL CLASSIFICATION:

• C22
• F14
• O39

Disclosure statement

No potential conflict of interest was reported by the authors.

Additional information

Funding

This work was supported by Institute for Basic Science (IBS) [grant numbers IBS-H004-01-2016-a00]