Export Diversification: What's behind the Hump?
AbstractThe paper explores the evolution of export diversification patterns along the economic development path. Using a large database with 156 countries over 19 years at the HS6 level of disaggregation (4'991 product lines) we look for action at the “intensive” and “extensive” margins (diversification of export values among active product lines and by addition of new product lines respectively) using various export concentration indices and the number of active export lines. We also look at new product introduction as an indicator of “export-entrepreneurship”. We find a hump-shaped pattern of export diversification similar to what Imbs and Wacziarg (2003) found for production and employment. Diversification and subsequent re-concentration take place mostly along the extensive margin, although the intensive margin follows the same pattern. This hump-shaped pattern is consistent with the conjecture that countries travel across diversification cones, as discussed in Schott (2003, 2004) and Xiang (2007).
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Bibliographic InfoPaper provided by HAL in its series Working Papers with number halshs-00553597.
Date of creation: 07 Jan 2011
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international trade; Export diversification;
Other versions of this item:
- Olivier Cadot & Céline Carrere & Vanessa Strauss-Khan, 2011. "Export Diversification:What's behind the Hump?," Working Papers halshs-00556999, HAL.
- Olivier CADOT & Céline CARRERE & Vanessa STRAUSS-KHAN, 2007. "Export Diversification:What’s behind the Hump?," Working Papers 200724, CERDI.
- Cadot, Olivier & Carrère, Céline & Strauss-Kahn, Vanessa, 2007. "Export Diversification: What’s behind the Hump?," CEPR Discussion Papers 6590, C.E.P.R. Discussion Papers.
- Olivier CADOT & Céline CARRERE & Vanessa STRAUSS-KHAN, 2009. "Export Diversification: What’s behind the Hump?," Working Papers 200934, CERDI.
- Cadot, Olivier & Carrère, Céline & Strauss-Kahn, Vanessa, 2010. "Export Diversification: What's behind the Hump?," CEPREMAP Working Papers (Docweb) 1011, CEPREMAP.
- O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
- F1 - International Economics - - Trade
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