This paper analyses the integrated circuit and pharmaceutical GVCs to determine the scope of technical upgrading and value capture achieved by Chinese and Indian contract R&D firms within these GVCs. There are three main findings. First, the two sectors differ significantly in terms of the...

This paper examines the effect of foreign direct investment (FDI) on domestic innovation based on a data set covering the pharmaceutical industries across 29 provinces in the People's Republic of China (PRC) over the period 1998-2007. We show that there is a negative horizontal spillover effect...