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Does Import Competition Force Efficient Production?

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Author Info
MacDonald, James M
Abstract

Increases in import competition led to large increases in labor productivity growth in highly concentrated industries during the period from 1975 through 1987. The finding is based on a panel of ninety-four manufacturing industries observed over four periods, each of three years duration. Imports had no observable effects on productivity growth in less concentrated industries; the strong effects in concentrated industries did not occur contemporaneously but appeared with a one-period lag. The effects are weakened but still statistically significant when Bureau of Labor Statistics productivity data are replaced by National Bureau of Economic Research data and in a larger panel with less precise trade data. Copyright 1994 by MIT Press.

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Publisher Info
Article provided by MIT Press in its journal Review of Economics & Statistics.

Volume (Year): 76 (1994)
Issue (Month): 4 (November)
Pages: 721-27
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Handle: RePEc:tpr:restat:v:76:y:1994:i:4:p:721-27

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  5. John R. Baldwin & Richard E. Caves, 1997. "International Competition and Industrial Performance: Allocative Efficiency, and Turbulence," Harvard Institute of Economic Research Working Papers 1809, Harvard - Institute of Economic Research. [Downloadable!]
  6. Harry Bloch & James Ted McDonald, 2000. "Import Competition and Labour Productivity," Melbourne Institute Working Paper Series wp2000n09, Melbourne Institute of Applied Economic and Social Research, The University of Melbourne. [Downloadable!]
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  10. Baldwin, John R. & Caves, Richard, 1997. "International Competition and Industrial Performance: Allocative Efficiency, Productive Efficiency, and Turbulence," Analytical Studies Branch Research Paper Series 1997108e, Statistics Canada, Analytical Studies Branch. [Downloadable!]
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  14. Jose E. Galdon-Sanchez & James A. Schmitz, Jr., 2003. "Competitive pressure and labor productivity: world iron ore markets in the 1980s," Quarterly Review, Federal Reserve Bank of Minneapolis, issue Spr, pages 9-23. [Downloadable!]
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  15. Gaëtan Nicodème & Jacques-Bernard Sauner-Leroy, 2007. "Product Market Reforms and Productivity: A Review of the Theoretical and Empirical Literature on the Transmission Channels," Journal of Industry, Competition and Trade, Springer, vol. 7(1), pages 53-72, March. [Downloadable!] (restricted)
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  16. Pradhan, Jaya Prakash & Das, Keshab & Paul, Mahua, 2006. "Export-orientation of Foreign Manufacturing Affiliates in India: Factors, Tendencies and Implications," MPRA Paper 12338, University Library of Munich, Germany. [Downloadable!]
  17. F.M. Scherer, 1997. "Competition Policy Convergence: Where Next?," Empirica, Springer, vol. 24(1), pages 5-19, January. [Downloadable!] (restricted)
  18. James Ted McDonald & Mita Bhattacharya & Harry Bloch, 2004. "Labour Productivity, Import Competition and Market Structure in Australian Manufacturing," Econometric Society 2004 Australasian Meetings 48, Econometric Society. [Downloadable!]
  19. Jason Barr, 2007. "Charter School Performance in New Jersey," Working Papers Rutgers University, Newark 2007-006, Department of Economics, Rutgers University, Newark. [Downloadable!]
  20. Baldwin, John R. & Caves, Richard, 1997. "Concurrence internationale et performance industrielle : allocation optimale, production optimale et turbulence," Direction des études analytiques : documents de recherche 1997108f, Statistics Canada, Direction des études analytiques. [Downloadable!]
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  23. Masaharu Hanazaki & Akiyoshi Horiuchi, 2000. "Have Banks Contributed to Efficient Management in Japan's Manufacturing?," CIRJE F-Series CIRJE-F-76, CIRJE, Faculty of Economics, University of Tokyo. [Downloadable!]
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