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Export specialization and economic growth around the world

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  • Lee, Jim

Abstract

This paper empirically investigates the extent to which technological characteristics in exports affect the patterns of trade-led economic growth across countries. Data of the Balassa index, which captures a country's revealed comparative advantage, are obtained for industries classified by technological intensity. Regression results based on a sample of 71 countries since 1970 suggest that economies have tended to grow more rapidly when they have increasingly specialized in exporting high-technology as opposed to traditional or low-technology goods. The findings are robust to the presence of various control variables as well as the consideration of parameter heterogeneity and in the endogeneity of export structures.

Suggested Citation

  • Lee, Jim, 2011. "Export specialization and economic growth around the world," Economic Systems, Elsevier, vol. 35(1), pages 45-63, March.
    • Handle: RePEc:eee:ecosys:v:35:y:2011:i:1:p:45-63
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