Technological spillovers across production and innovation networks

This paper develops a model of technological spillovers that integrates production and innovation networks. The model distinguishes three channels of transmission: production linkages, innovation linkages, and cross-network spillovers. Using China’s input–output data and large-scale patent citation data, we show that cross-network spillovers account for the largest share of total spillovers in most sectors. Our contribution is threefold: we identify and quantify cross-network spillovers as a distinct channel of technological diffusion; we connect production-network modelling with input–output analysis; and we provide new evidence from a large developing economy.