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Abstract

Trade liberalization may promote economic growth in a number of ways, including by accelerating the rate of technological change. Firms that face more intense import competition may be spurred to greater rates of innovation; firms which export may absorb new technologies through their contact with international markets. This paper examines evidence on trade policy and productivity growth for a sample of thirteen OECD countries and including eighteen manufacturing sectors, using data primarily from the 1980s. Within individual sectors, there are strong productivity convergence effects within the OECD. After controlling for convergence, we find a positive association between high rates of productivity growth and low tariffs, and between high productivity growth and strong export performance. We found no particular association between high productivity growth and import penetration. The results are consistent with the possibility of positive linkages between trade liberalization and accelerated productivity growth. [F1, O4]

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File URL: http://www.tandfonline.com/doi/abs/10.1080/10168730100000055
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Bibliographic Info

Article provided by Korean International Economic Association in its journal International Economic Journal.

Volume (Year): 15 (2001)
Issue (Month): 4 ()
Pages: 95-115

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Handle: RePEc:taf:intecj:v:15:y:2001:i:4:p:95-115

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References

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Citations

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Cited by:

1. Peter F. Orazem & Milan Vodopivec, 2009. "Do Market Pressures Induce Economic Efficiency? The Case of Slovenian Manufacturing, 1994–2001," Southern Economic Journal, Southern Economic Association, vol. 76(2), pages 553-576, October.
   
   • Orazem, Peter & Vodopivec, Milan, 2003. "Do Market Pressures Induce Economic Efficiency?: The Case of Slovenian Manufacturing, 1994-2001," Staff General Research Papers 10727, Iowa State University, Department of Economics.
   • Orazem, Peter F. & Vodopivec, Milan, 2004. "Do market pressures induce economic efficiency ? The case of Slovenian manufacturing, 1994-2001," Policy Research Working Paper Series 3189, The World Bank.
   • Orazem, Peter F. & Vodopivec, Milan, 2003. "Do Market Pressures Induce Economic Efficiency: The Case of Slovenian Manufacturing, 1994-2001," IZA Discussion Papers 901, Institute for the Study of Labor (IZA).
2. German Hector Gonzalez & Fernando Andres Delbianco, 2011. "Apertura y productividad total de los factores: análisis de la contemporaneidad en los quiebres estructurales para América Latina y el Caribe," Revista de Analisis Economico – Economic Analysis Review, Ilades-Georgetown University, Economics Department, vol. 26(1), pages 53-81, Junio.
   
   • Gonzalez, German Hector & Delbianco, Fernando Andres, 2010. "Apertura y Productividad Total de los Factores: Análisis de la contemporaneidad en los quiebres estructurales para América Latina y el Caribe
     [Openness and Total Factor Productivity: Test of Temp," MPRA Paper 26029, University Library of Munich, Germany.
3. Carlos Esteban Posada P., 2004. "Causas del desarrollo y mecánica del crecimiento," Method and Hist of Econ Thought 0411003, EconWPA.

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