Using Econometic Models to Estimate the Relationship between Nanotechnology and the Added Value of Manufacturing

Abstract

This study aims to use the panel models to estimate the impact of nanotechnology on economic growth represented in this study by the added value of manufacturing, by clarifying between the three models represented by the pooled regression model, the fixed effects model, and the random effects model. The Haussmann criterion was based on choosing the best model by studying two independent variables that affect technology. The study included two economic sectors, namely, the manufacturing sector and the scientific research sector related to nanotechnology, for the period from 2000 to 2022. The study concluded that the fixed effects model is better than the pooled regression model and the random effects in estimating the relationship between research variables related to nanotechnology and industrial development. The study concluded that there is a strong positive statistically significant relationship between nanotechnology and the added value of manufacturing.