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Import-competition, market power and productivity change


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  • Traca, Daniel A.
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    We explore how the competitive pressure of imports affects productivity, at the firm level. There are two conflicting effects of import-competition: the pro-competitive effect fosters productivity, while the direct effect hinders it. The pro-competitive effect dominates in the steady-state, yielding free-trade as the optimal long run policy. However, under a large initial productivity gap, the firm shuts down. Here, a temporary tariff sways the firm to fight, and ensures survival, which is welfare increasing. Trade liberalization, around the steady-state, increases productivity growth and closes the gap. However, a radical liberalization kills the domestic firm. Gradualism increases the likelihood of survival, and increases welfare. -- In dem Beitrag wird untersucht, wie Wettbewerbsdruck aufgrund von Importen die Produktivität von Unternehmen beeinflußt. Zwei gegensätzliche Effekte der Importkonkurrenz sind zu unterscheiden: Der wettbewerbsfördernde Effekt begünstigt die Produktivität während der direkte Effekt sie behindert. Der wettbewerbsfördernde Effekt dominiert im stationären Gleichgewicht, das im Rahmen von freiem Handel als optimale Langfriststrategie angesehen werden kann. Besteht jedoch eine große anfängliche Produktivitätslücke, dann kommt es zu einer Schließung der Unternehmen. Hier können temporäre Zölle es ermöglichen, daß die Firmen sich im Wettbewerb behaupten und so ihr Überleben sichern, was zu einem Wohlfahrtsanstieg führt. Eine Lockerung des Freihandels bei stationärem Gleichgewicht führt zu einem Anstieg des Produktivitätswachstums und schließt die Lücke. Eine radikale Handelsliberalisierung führt jedoch zu einem Schließen des heimischen Unternehmens. Schrittweises Handeln erhöht die Wahrscheinlichkeit des Überlebens und einen Anstieg der Wohlfahrt.

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    Paper provided by Social Science Research Center Berlin (WZB) in its series Discussion Papers, Research Unit: Market Dynamics with number FS IV 97-29.

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    Date of creation: 1997
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    Handle: RePEc:zbw:wzbmdy:fsiv9729

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    1. Harrison, Ann E., 1994. "Productivity, imperfect competition and trade reform : Theory and evidence," Journal of International Economics, Elsevier, vol. 36(1-2), pages 53-73, February.
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    Cited by:
    1. Fernandes, Ana M., 2007. "Trade policy, trade volumes and plant-level productivity in Colombian manufacturing industries," Journal of International Economics, Elsevier, vol. 71(1), pages 52-71, March.
    2. Ana Fernandes, 2002. "Trade Policy, Trade Volumes and Plant-Level Productivity in Colombian Manufacturing Industries," Working Papers 847, Economic Growth Center, Yale University.


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