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Trade integration and within-plant productivity evolution in Chile

Author

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  • Maria Bas

    () (PSE - Paris School of Economics, CEPII - Centre d'Etudes Prospectives et d'Informations Internationales - Centre d'analyse stratégique)

  • Ivan Ledezma

    (LEDa - Laboratoire d'Economie de Dauphine - Université Paris-Dauphine, PSE - Paris School of Economics)

Abstract

We analyze the impact of trade integration on plant TFP using Chilean plant-level data (1982–1999) and 3-digit bilateral trade flows. Our contribution is to disentangle the impact of export and import barriers, estimated as border effects within a multilateral context. A fall in export barriers is positively correlated with plant productivity in traded sectors. The reduction of import barriers, however, can only be associated to productivity improvements in export-oriented sectors. In import-competing sectors a robust positive correlation shows up between plant productivity and protection. We then test several channels linking trade integration and firm productivity.

Suggested Citation

  • Maria Bas & Ivan Ledezma, 2010. "Trade integration and within-plant productivity evolution in Chile," Post-Print hal-00562714, HAL.
  • Handle: RePEc:hal:journl:hal-00562714
    DOI: 10.1007/s10290-009-0041-2
    Note: View the original document on HAL open archive server: https://hal.archives-ouvertes.fr/hal-00562714
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Raphael Bergoeing Vela & Andrés Hernando & Andrea Repetto, 2010. "Market Reforms and Efficiency Gains in Chile," Estudios de Economia, University of Chile, Department of Economics, vol. 37(2 Year 20), pages 217-242, December.
    2. Sarra Ben Yahmed & Sean Dougherty, 2012. "Import Competition, Domestic Regulation and Firm-Level Productivity Growth in the OECD," OECD Economics Department Working Papers 980, OECD Publishing.
    3. Maria Bas & Vanessa Strauss-Kahn, 2014. "Does importing more inputs raise exports? Firm-level evidence from France," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 150(2), pages 241-275, May.
    4. Antonio Navas & Davide Sala, 2015. "Innovation and Trade Policy Coordination: The Role of Firm Heterogeneity," The World Economy, Wiley Blackwell, vol. 38(8), pages 1205-1224, August.
    5. Maria Bas & Pamela Bombarda, 2011. "Unilateral trade reform, Market Access and Foreign Competition: the Patterns of Multi-Product Exporters," Working Papers 2011-18, CEPII research center.
    6. Maria Bas & Pamela Bombarda, 2013. "Chinese Trade Reforms, Market Access and Foreign Competition: The Patterns of French Exporters," World Bank Economic Review, World Bank Group, vol. 27(1), pages 80-108.
    7. Ildikó Magyari, 2017. "Firm Reorganization, Chinese Imports, and US Manufacturing Employment," Working Papers 17-58, Center for Economic Studies, U.S. Census Bureau.
    8. Maria Bas, 2009. "Trade, Foreign Inputs and Firms’ Decisions: Theory and Evidence," Working Papers 2009-35, CEPII research center.
    9. Maria Bas & Ivan Ledezma, 2015. "Trade Liberalization and Heterogeneous Technology Investments," Review of International Economics, Wiley Blackwell, vol. 23(4), pages 738-781, September.

    More about this item

    Keywords

    O1; F4; Plant-level data; F1; Trade barriers; Plant productivity; Firm heterogeneity;

    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • F4 - International Economics - - Macroeconomic Aspects of International Trade and Finance
    • F1 - International Economics - - Trade

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