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The Emergence of New Successful Export Activities in Argentina: Self-Discovery, Knowledge Niches, or Barriers to Riches?

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Author Info

  • Gabriel Sánchez
  • Ricardo Rozemberg
  • Inés Butler
  • Hernán Rufo

Abstract

This paper examines the emergence of three new successful export activities in Argentina: biotechnology applied to human health, blueberries and chocolate confections. The main interest lies in ascertaining why these sectors/products were targeted, on which previously accumulated capabilities they were built upon, and what type of hurdles they faced and how they were overcome. In the absence of government support for discovery, these new exports emerged because the pioneers could introduce permanent or dynamic barriers to entry to compensate for the knowledge externalities they generated. When they could only introduce temporary barriers to entry, laissez faire investment in experimentation was suboptimally small. These new exports emerged in sectors where there were entrepreneurs with superior planning and networking skills and/or there were larger firms that could self-provide the required public goods and solve coordination failures by themselves.

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Bibliographic Info

Paper provided by Inter-American Development Bank, Research Department in its series Research Department Publications with number 3254.

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Date of creation: Mar 2008
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Handle: RePEc:idb:wpaper:3254

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  1. Eric A. Verhoogen, 2008. "Trade, Quality Upgrading, and Wage Inequality in the Mexican Manufacturing Sector," The Quarterly Journal of Economics, MIT Press, vol. 123(2), pages 489-530, 05.
  2. Sofronis Clerides & Saul Lach & James Tybout, 1996. "Is "learning-by-exporting" important? Micro-dynamic evidence from Colombia, Mexico and Morocco," Finance and Economics Discussion Series 96-30, Board of Governors of the Federal Reserve System (U.S.).
  3. William F. Maloney & Daniel Lederman, 2004. "R&D and Development," Econometric Society 2004 Latin American Meetings 216, Econometric Society.
  4. Hausmann, Ricardo & Rodrik, Dani, 2003. "Economic development as self-discovery," Journal of Development Economics, Elsevier, vol. 72(2), pages 603-633, December.
  5. Sanghamitra Das & Mark J. Roberts & James R. Tybout, 2001. "Market entry costs, producer heterogeneity and export dynamics," Indian Statistical Institute, Planning Unit, New Delhi Discussion Papers 03-10, Indian Statistical Institute, New Delhi, India.
  6. Stephen L. Parente & Edward C. Prescott, 2002. "Barriers to Riches," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262661306, January.
  7. C. A. Hidalgo & B. Klinger & A. -L. Barabasi & R. Hausmann, 2007. "The Product Space Conditions the Development of Nations," Papers 0708.2090, arXiv.org.
  8. Roberts, Mark J & Tybout, James R, 1997. "The Decision to Export in Colombia: An Empirical Model of Entry with Sunk Costs," American Economic Review, American Economic Association, vol. 87(4), pages 545-64, September.
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Citations

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Cited by:
  1. Armando Castelar Pinneiro & Regis Bonelli, 2008. "Nuevas Actividades Exportadoras en Brasil: Ventaja Comparativa, Políticas o Auto-Descubrimiento?," Research Department Publications 3257, Inter-American Development Bank, Research Department.
  2. Gianmarco Ottaviano & Christian Volpe Martincus, 2011. "SMEs in Argentina: who are the exporters?," Small Business Economics, Springer, vol. 37(3), pages 341-361, October.
  3. Armando Castelar Pinneiro & Regis Bonelli, 2008. "New Export Activities in Brazil: Comparative Advantage, Policy or Self-Discovery?," Research Department Publications 3256, Inter-American Development Bank, Research Department.

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