Analysis of factors affecting high technology product export in OECD countries

In today's world of globalization, production of goods with higher added value and exportation of high technology products are gaining higher importance day by day for the countries that are out in the arena to compete effectively. The impact of R&D spending is quite significant in countries' efforts to dominate the counterparts within their respective competitive environments and to gain economic power against ever changing economic conditions. Countries are able to maintain their economic growth and enhance the wealth either by new production management or new technological development as a result of allocations on R&D spending. The purpose of this thesis is to investigate whether or not the portion of R&D spending in the Gross Domestic Product (GDP) will cause an increase in the portion of exports of high technology products within the total exports in the 15 OECD countries by using yearly data for the years 1991-2016. In this context, in thesis has sought for an answer to the question whether R&D spending has any effect on the exports of high technology products. In the linear regression model, economic growth and the share of foreign direct investment inflows in GDP were added to the model as control variable. The effects of R&D spending on the exports of high technology products have been studied by the method of panel data analysis. The Hausman test results which are required for Panel Data Analysis have shown that the Constant Effects Model was needed to use. Additionally, singular effects of each country on the exports of high technology products have been investigated and evaluated. The results have indicated that R&D spendings have positive and significant effects on the exports of high technology products. Analyzing as a control variable means that targeted economic growth and foreign direct investment inflows have no impact on high-tech exports. This result has once again demonstrated the importance of high-tech product exports and the importance given to R & D expenditures for countries wishing to have a competitive power. Key Words: High Technology Products Exports, R&D Spendings, Economic Growth, Direct Foreign Investment, Panel Data Analysis