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Import variety and productivity in Japan

Author

Listed:
  • Craig R. Parsons

    (Yokohama National University)

  • Anh Thu Nguyen

    (Yokohama National University)

Abstract

This paper constructs import variety indices, as developed by Feenstra (1994), for 21 industries over a twenty year period for Japan. Next, both single-equation and panel regressions of productivity (TFP) on import variety and R&D are conducted. Results find that increased import variety, both own-variety and upstream inputs, positively affect productivity.

Suggested Citation

  • Craig R. Parsons & Anh Thu Nguyen, 2009. "Import variety and productivity in Japan," Economics Bulletin, AccessEcon, vol. 29(3), pages 1947-1959.
    • Handle: RePEc:ebl:ecbull:eb-09-00244
    as

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    File URL: http://www.accessecon.com/Pubs/EB/2009/Volume29/EB-09-V29-I3-P43.pdf
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    References listed on IDEAS

    as
    1. Nishimura, Kiyohiko G. & Nakajima, Takanobu & Kiyota, Kozo, 2005. "Does the natural selection mechanism still work in severe recessions?: Examination of the Japanese economy in the 1990s," Journal of Economic Behavior & Organization, Elsevier, vol. 58(1), pages 53-78, September.
    2. Christian Broda & David E. Weinstein, 2006. "Globalization and the Gains From Variety," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 121(2), pages 541-585.
    3. By Michael Funke & Ralf Ruhwedel, 2001. "Product Variety and Economic Growth: Empirical Evidence for the OECD Countries," IMF Staff Papers, Palgrave Macmillan, vol. 48(2), pages 1-1.
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    5. Feenstra, Robert C. & Madani, Dorsati & Yang, Tzu-Han & Liang, Chi-Yuan, 1999. "Testing endogenous growth in South Korea and Taiwan," Journal of Development Economics, Elsevier, vol. 60(2), pages 317-341, December.
    6. Feenstra, Robert C, 1994. "New Product Varieties and the Measurement of International Prices," American Economic Review, American Economic Association, vol. 84(1), pages 157-177, March.
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    8. Feenstra, Robert C. & Yang, Tzu-Han & Hamilton, Gary G., 1999. "Business groups and product variety in trade: evidence from South Korea, Taiwan and Japan," Journal of International Economics, Elsevier, vol. 48(1), pages 71-100, June.
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    11. Michael Funke & Ralf Ruhwedel, 2005. "Export variety and economic growth in East European transition economies," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 13(1), pages 25-50, January.
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    Cited by:

    1. Ling-Yun He & Liang Wang, 2019. "Import Liberalization of Intermediates and Environment: Empirical Evidence from Chinese Manufacturing," Sustainability, MDPI, vol. 11(9), pages 1-15, May.

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    More about this item

    Keywords

    variety index; imports; growth; TFP; Japan;
    All these keywords.

    JEL classification:

    • F1 - International Economics - - Trade
    • F0 - International Economics - - General

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