Productivity Spillovers from Research and Development, Exports and Foreign Direct Investment in Vietnam's Manufacturing Sectors

Abstract

This article evaluates the productivity spillover effects from research and development (R&D), export (EX), and foreign direct investment (FDI) activities to domestic manufacturing enterprises. By applying the Cobb-Douglas production function analysis framework and panel data regression method for firms during 2013-2019, the results show that R&D, EX, and FDI activities positively affect the productivity of domestic firms. In-depth analysis shows that FDI enterprises from Northeast Asia create more positive productivity spillovers than FDI enterprises from ASEAN. Based on the analysis, the study proposes some important policy implications.