Effects of Codified Knowledge Diffusion towards National Economic Development

Building on existing literature of knowledge transfer and diffusion, this paper proposes a model of the antecedents and outcomes of knowledge diffusion at the macro national context. While national innovation and economic development are the expected outcomes of knowledge diffusion, absorptive capacity and knowledge codification are two major drivers of cross-border knowledge diffusion focused here. It is hoped that our paper provides the initial effort for policy makers and academic scholars to search for theories and empirical evidence that help explain the relationships between knowledge and national economic prosperity so that appropriate policies can be crafted accordingly.