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How Resilient Was Trade to COVID-19 ?

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  • Bas,Maria
  • Fernandes,Ana Margarida
  • Paunov,Caroline

Abstract

This paper examines which product supply-side characteristics affect the resilience of tradedproducts to the COVID-19 pandemic. Relying on monthly product-level exports by all countries to the United States,Japan, and 27 European Union countries from January 2018 to December 2020, the paper estimates adifference-in-differences specification for the impact of COVID-19 incidence (deaths per capita) mediated by productcharacteristics, accounting for when exports reach their destination by relying on product transportation lags.Higher reliance on foreign inputs, China as an input supplier, and unskilled labor and a lower degree ofcomplexity negatively affected exports as a result of COVID-19.

Suggested Citation

  • Bas,Maria & Fernandes,Ana Margarida & Paunov,Caroline, 2022. "How Resilient Was Trade to COVID-19 ?," Policy Research Working Paper Series 9975, The World Bank.
    • Handle: RePEc:wbk:wbrwps:9975
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    Cited by:

    1. Cristina Constantinescu & Ana Margarida Fernandes & Arti Grover & Stavros Poupakis & Santiago Reyes, 2022. "Globally Engaged Firms in the Covid-19 Crisis," CESifo Working Paper Series 9711, CESifo.
    2. Alessandro Nicita & Enxhi Tresa, 2022. "Trade policy and trade resilience during the 2020 trade downturn," UNCTAD Working Papers #1, United Nations Conference on Trade and Development.

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    More about this item

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F61 - International Economics - - Economic Impacts of Globalization - - - Microeconomic Impacts
    • D20 - Microeconomics - - Production and Organizations - - - General

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