IDEAS home Printed from https://ideas.repec.org/p/wop/anuetd/9613.html
   My bibliography  Save this paper

Gains from Export Growth: Do Linkages Matter?

Author

Listed:
  • Prema-Chandra Athukorala
  • Bambang H. Santosa

Abstract

Policy makers in developing countries often place emphasis on inter-sectoral input linkages (‘linkages’ for short) in determining sectoral priorities in export development policy, particularly in designing export promotion schemes and in screening and monitoring export-oriented foreign direct investment. Development analysts too place emphasis on linkages as an operational norm in assessing the developmental impact of emerging export industries. The purpose of this paper is to argue that the use of this closed-economy planning tool as a performance criterion in the context of exportoriented growth strategy is fundamentally flawed. We illustrate our argument using Indonesia as a case study. The methodology adopted involves the examination, using the Leontief inter-industry accounting framework as the main analytical tool, of the relationship between sectoral input linkages, and employment impact and contribution to net foreign exchange earnings of manufactured exports in Indonesian manufacturing during 1985-95.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Prema-Chandra Athukorala & Bambang H. Santosa, 1996. "Gains from Export Growth: Do Linkages Matter?," Trade and Development 96/13, Australian National University, Department of Economics.
    • Handle: RePEc:wop:anuetd:9613
    as

    Download full text from publisher

    File URL: http://coombs.anu.edu.au/~ecopac/wpaper/wp1996/9613.prn
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. James Riedel, 1976. "A Balanced-Growth Version of the Linkage Hypothesis: A Comment," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 90(2), pages 319-322.
    2. Hill, Hal, 1996. "Indonesia's Industrial Policy and Performance: "Orthodoxy" Vindicated," Economic Development and Cultural Change, University of Chicago Press, vol. 45(1), pages 147-174, October.
    3. Riedel, James, 1975. "Factor Proportions, Linkages and the Open Developing Economy," The Review of Economics and Statistics, MIT Press, vol. 57(4), pages 487-494, November.
    4. Helleiner, Gerald K, 1973. "Manufactured Exports from Less-Developed Countries and Multinational Firms," Economic Journal, Royal Economic Society, vol. 83(329), pages 21-47, March.
    5. Paul Krugman, 1995. "Growing World Trade: Causes and Consequences," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 26(1, 25th A), pages 327-377.
    6. Keesing, Donald B, 1983. "Linking Up to Distant Markets: South to North Exports of Manufactured Consumer Goods," American Economic Review, American Economic Association, vol. 73(2), pages 338-342, May.
    7. Weisskoff, Richard & Wolff, Edward N, 1977. "Linkages and Leakages: Industrial Tracking in an Enclave Economy," Economic Development and Cultural Change, University of Chicago Press, vol. 25(4), pages 607-628, July.
    8. Athukorala, Premachandra & Bandara, Jayatilleke S., 1989. "Growth of manufactured exports, primary commodity dependence, and net export earnings: Sri Lanka," World Development, Elsevier, vol. 17(6), pages 897-903, June.
    9. Premachandra Athukorala, 1995. "Foreign Direct Investment and Manufacturing for Export in a New Exporting Country: The Case of Sri Lanka," The World Economy, Wiley Blackwell, vol. 18(4), pages 543-564, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Prema-chandra Athukorala, 2006. "Outward-oriented Policy Reforms and Industrialisation," Journal of South Asian Development, , vol. 1(1), pages 19-49, April.
    2. Habanabakize Thomas & Muzindutsi Paul-Francois, 2018. "Analysis of the Keynesian Theory of Employment and Sectoral Job Creation: The Case of the South African Manufacturing Sector," Folia Oeconomica Stetinensia, Sciendo, vol. 18(1), pages 123-143, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Prema-chandra Athukorala & Bambang Santosa, 1997. "Gains from Indonesian Export Growth: Do Linkages Matter?," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 33(2), pages 73-95.
    2. Prema-chandra Athukorala & Hal Hill, 2010. "Asian trade: long-term patterns and key policy issues," Asian-Pacific Economic Literature, The Crawford School, The Australian National University, vol. 24(2), pages 52-82, November.
    3. Dijck, P. van & Verbruggen, H., 1980. "Productive employment in developing countries' exporting industries," Serie Research Memoranda 0003, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
    4. Prema-chandra Athukorala, 2005. "Product Fragmentation and Trade Patterns in East Asia," Asian Economic Papers, MIT Press, vol. 4(3), pages 1-27, Fall.
    5. Prema-chandra Athukorala, 2006. "Outward-oriented Policy Reforms and Industrialisation," Journal of South Asian Development, , vol. 1(1), pages 19-49, April.
    6. Kelegama, Saman & Foley, Fritz, 1999. "Impediments to Promoting Backward Linkages from the Garment Industry in Sri Lanka," World Development, Elsevier, vol. 27(8), pages 1445-1460, August.
    7. Prema-chandra Athukorala, 2009. "Trends and Patterns of Foreign Direct Investments in Asia," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 3(4), pages 365-408, October.
    8. Prema-chandra Athukorala, 2006. "Multinational Enterprises and Manufacturing for Export in Developing Asian Countries: Emerging Patterns and Opportunities for Latecomers," Hi-Stat Discussion Paper Series d06-193, Institute of Economic Research, Hitotsubashi University.
    9. Premachandra Athukorala, 1989. "Export Performance of ‘New Exporting Countries’: How Valid is the Optimism?," Development and Change, International Institute of Social Studies, vol. 20(1), pages 89-120, January.
    10. Riedel, James, 1975. "Factor Proportions, Linkages and the Open Developing Economy," The Review of Economics and Statistics, MIT Press, vol. 57(4), pages 487-494, November.
    11. Peter Huber & Helmut Hofer, 2001. "Teilprojekt 9: Auswirkungen der EU-Erweiterung auf den österreichischen Arbeitsmarkt," WIFO Studies, WIFO, number 19839, April.
    12. Cigno, Alessandro & Rosati, Furio C. & Guarcello, Lorenzo, 2002. "Does Globalization Increase Child Labor?," World Development, Elsevier, vol. 30(9), pages 1579-1589, September.
    13. Meenu Tewari & C. Veeramani, 2016. "Network Trade and Development: What Do Patterns of Vertically Specialized Trade in ASEAN Tell Us About India’s Place in Asian Production Networks?," Global Economy Journal (GEJ), World Scientific Publishing Co. Pte. Ltd., vol. 16(2), pages 349-388, June.
    14. Prema-chandra Athukorala & Raveen Ekanayake, 2014. "Repositioning in the Global Apparel Value Chain in the Post-MFA Era: Strategic Issues and Evidence from Sri Lanka," Departmental Working Papers 2014-17, The Australian National University, Arndt-Corden Department of Economics.
    15. Tiago Pereira, 2016. "The effect of developing countries' competition on regional labour markets in Portugal," GEE Papers 0058, Gabinete de Estratégia e Estudos, Ministério da Economia, revised Mar 2016.
    16. Dennis J. Snower & Alessio J. G. Brown & Christian Merkl, 2009. "Globalization and the Welfare State: A Review of Hans-Werner Sinn's Can Germany Be Saved?," Journal of Economic Literature, American Economic Association, vol. 47(1), pages 136-158, March.
    17. Arunatilake, Nisha & Jayasuriya, Sisira & Kelegama, Saman, 2001. "The Economic Cost of the War in Sri Lanka," World Development, Elsevier, vol. 29(9), pages 1483-1500, September.
    18. Sakurai, Kojiro, 2001. "Biased Technological Change and Japanese Manufacturing Employment," Journal of the Japanese and International Economies, Elsevier, vol. 15(3), pages 298-322, September.
    19. Daniel Münich & Martin Srholec & Michael Moritz & Johannes Schäffler, 2014. "Mothers and Daughters: Heterogeneity of German Direct Investments in the Czech Republic," Prague Economic Papers, Prague University of Economics and Business, vol. 2014(1), pages 42-62.
    20. Oslington, Paul, 2002. "Factor market linkages in a global economy," Economics Letters, Elsevier, vol. 76(1), pages 85-93, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wop:anuetd:9613. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Thomas Krichel (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.