For 10 years the trade research group at the World Bank has undertaken outstanding and innovative empirical studies of the processes under which technology transfer occurs and its impacts on local economies. This volume brings together the fruits of this endeavour and offers a wealth of perspectives on this central issue for development.

SIMEON DJANKOV World Bank, USA
AART KRAAY World Bank, USA
DANIEL LEDERMAN World Bank, USA
WILLIAM F. MALONEY World Bank, USA
GIORGIO BARBA NAVARETTI Università degli Studi di Milano, Italy
HOWARD PACK The Wharton School, University of Pennsylvania, USA
KAMAL SAGGI Southern Methodist University, USA
MAURICE SCHIFF World Bank, USA
L. SERVÉN World Bank, USA
ISIDRO SOLOAGA Universidad de las Américas, Puebla, Mexico
JAMES TYBOUT Penn State University, USA
YANLING WANG The Norman Paterson School of International Affairs, Carleton University, USA

Introduction; B.M.Hoekman & B.Smarzynska Javorcik PART 1: LITERATURE SURVEYS Modes of Technology Transfer at the Firm Level; H.Pack Foreign Direct Investment, Linkages, and Technology Spillovers; K.Saggi Plant- and Firm-Level Evidence on 'New' Trade Theories; J.Tybout PART 2: FOREIGN TRADE AND PRODUCTIVITY On the Quantity and Quality of Knowledge Diffusion: The Impact of Openness and Foreign R&D on North-North and North-South R&D Spillovers; M.Schiff & Y.Wang The Knowledge-Content of Machines: A New View on North-South Trade and Technology Diffusion; G.B.Navaretti, M.Schiff & I.Soloaga Exports and Economic Performance: Evidence from a Panel of Chinese Enterprises; A.Kraay PART 3: FDI, TECHNOLOGY TRANSFER AND PRODUCTIVITY Foreign Investment and Productivity Growth in Czech Enterprises; S.Djankov & B.M.Hoekman Technological Leadership and the Choice of Entry Mode by Foreign Investors; B.Smarzynska Javorcik Does Foreign Direct Investment Increase the Productivity of Domestic Firms? In Search of Spillovers through Backward Linkages; B.Smarzynska Javorcik PART 4: INTERACTIONS AND COMPLEMENTARY POLICIES Product Quality, Productive Efficiency, and International Technology Diffusion: Evidence from Plant-Level Panel Data; A.Kraay, J.Tybout & I.Soloaga Market Discipline and Corporate Efficiency: Evidence from Bulgaria; S.Djankov & B.M.Hoekman Innovation in Mexico: NAFTA Is Not Enough; D.Lederman, W.F.Maloney & L.Serv¿n