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Avenues for Export Diversification: Issues for Low-Income Countries

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  • Brenton, Paul
  • Newfarmer, Richard
  • Walkenhorst, Peter

Abstract

While diversification of exports is often a desirable trade objective, it is far from clear how best to tap into new opportunities. This paper discusses the range of avenues of diversification, including (i) expanding the range of markets into which existing products are sold (geographic diversification); (ii) upgrading the value of existing products, including agricultural exports (quality diversification); and (iii) taking advantage of opportunities to expand non-merchandise exports (services diversification), in addition to introducing entirely new export products. All offer opportunities for cost-effective positive policies relating to the incentive regime, backbone services, and export support institutions.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 22758.

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Date of creation: Feb 2009
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Handle: RePEc:pra:mprapa:22758

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Keywords: Exports; trade; services; growth; low income countries; world markets;

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References

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  1. Atish R. Ghosh & Jonathan D. Ostry, 1994. "Export Instability and the External Balance in Developing Countries," IMF Staff Papers, Palgrave Macmillan, vol. 41(2), pages 214-235, June.
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  6. Hausmann, Ricardo & Hwang, Jason & Rodrik, Dani, 2005. "What You Export Matters," Working Paper Series, Harvard University, John F. Kennedy School of Government rwp05-063, Harvard University, John F. Kennedy School of Government.
  7. Hoekman, Bernard, 2006. "Liberalizing trade in services : a survey," Policy Research Working Paper Series 4030, The World Bank.
  8. Amurgo-Pacheco, Alberto & Pierola, Martha Denisse, 2008. "Patterns of export diversification in developing countries : intensive and extensive margins," Policy Research Working Paper Series 4473, The World Bank.
  9. Andrew Berg & Jonathan D. Ostry & Jeromin Zettelmeyer, 2011. "What makes growth sustained?," Working Papers, European Bank for Reconstruction and Development, Office of the Chief Economist 133, European Bank for Reconstruction and Development, Office of the Chief Economist.
  10. Ricardo Hausmann & Dani Rodrik, 2002. "Economic Development as Self-Discovery," NBER Working Papers 8952, National Bureau of Economic Research, Inc.
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  12. Brenton, Paul & Newfarmer, Richard, 2007. "Watching more than the Discovery channel : export cycles and diversification in development," Policy Research Working Paper Series 4302, The World Bank.
  13. Besedes, Tibor & Prusa, Thomas J., 2011. "The role of extensive and intensive margins and export growth," Journal of Development Economics, Elsevier, Elsevier, vol. 96(2), pages 371-379, November.
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  15. Collier, Paul & Venables, Anthony J., 2007. "Rethinking Trade Preferences: How Africa Can Diversify its Exports," CEPR Discussion Papers, C.E.P.R. Discussion Papers 6262, C.E.P.R. Discussion Papers.
  16. Dirk Pilat & Anita Wölfl, 2005. "Measuring the Interaction Between Manufacturing and Services," OECD Science, Technology and Industry Working Papers 2005/5, OECD Publishing.
  17. Asier Minondo, 2010. "Exports' quality-adjusted productivity and economic growth," The Journal of International Trade & Economic Development, Taylor & Francis Journals, Taylor & Francis Journals, vol. 19(2), pages 257-287.
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  19. Anthony J. Venables & William Maloney & Ari Kokko & Claudio Bravo Ortega & Daniel Lederman & Roberto Rigobón & José De Gregorio & Jesse Czelusta & Shamila A. Jayasuriya & Magnus Blomström & L. Coli, . "Natural Resources: Neither Curse nor Destiny," IDB Publications 59538, Inter-American Development Bank.
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Cited by:
  1. Gnidchenko, Andrey, 2011. "Моделирование Технологических И Институциональных Эффектов В Макроэкономическом Прогнозировании
    [Technologica
    ," MPRA Paper 35484, University Library of Munich, Germany, revised May 2011.
  2. Kemal Türkcan, 2014. "Investigating the Role of Extensive Margin, Intensive Margin, Price and Quantity Components on Turkey’s Export Growth during 1998-2011," Working Papers, Turkish Economic Association 2014/2, Turkish Economic Association.
  3. Andrey A. GNIDCHENKO, 2011. "Defragmentation Of Economic Growth With A Focus On Diversification: Evidence From Russian Economy," Theoretical and Practical Research in Economic Fields, ASERS Publishing, ASERS Publishing, vol. 0(1), pages 45-85, June.
  4. Stephanie Medina Cas & Andrew Swiston & Luis-Diego Barrot, 2012. "Central America, Panama, and the Dominican Republic," IMF Working Papers 12/234, International Monetary Fund.
  5. AfDB AfDB, . "Egypt - Competitiveness Report 2010 Update," Africa Competitiveness Report, African Development Bank, African Development Bank, number 984, 9.
  6. AfDB AfDB, . "Egypt - Competitiveness Report 2010 Update," Africa Competitiveness Report, African Development Bank, African Development Bank, number 372, 9.

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