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Is Exporting a Source of Productivity Spillovers?

Author

Listed:
  • Roberto Alvarez

    (Central Bank of Chile)

  • Ricardo Lopez

    (Indiana University Bloomington)

Abstract

This paper investigates whether exporting generates positive productivity spillover effects on other plants operating in the same industry and whether exporting affects productivity of plants in vertically related industries. Using plant-level data from Chile we find that exporters improve productivity of their local suppliers but not of plants that purchase intermediate inputs from them. We also find evidence of horizontal spillovers from exporting. Exporting by foreign-owned plants generates positive spillovers in all directions: to their suppliers, customers, and to other plants in the same industry. Domestic exporters increase productivity of their suppliers and, to a lesser extent, that of plants in the same sector.

Suggested Citation

  • Roberto Alvarez & Ricardo Lopez, 2006. "Is Exporting a Source of Productivity Spillovers?," CAEPR Working Papers 2006-012, Center for Applied Economics and Policy Research, Department of Economics, Indiana University Bloomington.
  • Handle: RePEc:inu:caeprp:2006012
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    References listed on IDEAS

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    More about this item

    Keywords

    exporting; spillovers; productivity; vertical linkages; Chile;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • O3 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights
    • O54 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Latin America; Caribbean

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