Trade liberalization, roads and firm productivity
Autor: | Marco Sanfilippo, Asha Sundaram, Matteo Fiorini |
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Jazyk: | angličtina |
Rok vydání: | 2021 |
Předmět: |
2. Zero hunger
Economics and Econometrics Exploit Economics Level data 05 social sciences Tariff reduction 1. No poverty Tariff ComputerApplications_COMPUTERSINOTHERSYSTEMS Development Reduction (complexity) 0502 economics and business Manufacturing firms Business 050207 economics Free trade Productivity Industrial organization 050205 econometrics |
Zdroj: | Journal of development economics |
ISSN: | 0304-3878 |
Popis: | We examine the role of road infrastructure in determining the impact of a reduction in input tariffs on firm productivity. We combine new geo-spatial data on road improvements in Ethiopia with establishment level data on manufacturing firms that allow us to estimate physical productivity. Results show that an input tariff reduction is associated with a larger increase in firm productivity in areas where better roads improve access to other intranational markets. Roads magnify pass-through of tariff reductions to imported input prices and also incentivize firms to exploit this cost advantage to enhance productivity. Road infrastructure hence complements trade liberalization. |
Databáze: | OpenAIRE |
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