Assessing the Trade-Related Sources of Productivity Growth in Emerging Economies

This paper contributes new empirical evidence on the relationship between productivity and international trade. This is accomplished using an econometric approach that combines input-output and productivity data, which allows a more detailed tracking of the relationship between trade in intermediate...

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Bibliographic Details
Main Author: Kowalski, Przemyslaw
Other Authors: Büge, Max
Format: eBook
Language:English
Published: Paris OECD Publishing 2013
Series:OECD Trade Policy Papers
Subjects:
Online Access:
Collection: OECD Books and Papers - Collection details see MPG.ReNa
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520 |a This paper contributes new empirical evidence on the relationship between productivity and international trade. This is accomplished using an econometric approach that combines input-output and productivity data, which allows a more detailed tracking of the relationship between trade in intermediate and final products and productivity in countries at different stages of economic development. The results show that various forms of trade integration strongly support productivity in emerging economies. Exporting final products, importing intermediates for domestic production and re-exporting are all associated with higher productivity levels, pointing to the particular importance for this country grouping of being able to integrate into regional and global value chains. Our results emphasise also important linkages between different economic sectors and call for broad-based approaches to facilitating integration with foreign intermediate inputs and final products markets