Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/282553 
Year of Publication: 
2023
Series/Report no.: 
CESifo Working Paper No. 10865
Publisher: 
Center for Economic Studies and ifo Institute (CESifo), Munich
Abstract: 
This paper investigates the effect of robotization in high-income countries on firm-level North-South trade along the value chain. Using a novel combination of data sources including firm-level export data, input-output linkages, and robot adoption, we show contrasting implications for Southern firms. Increased exposure to robot adoption in the destination country of exports reduces firm-level exports in case of robot adoption in the same industry. However, the opposite holds when accounting for input-output linkages and trade along the value chain. We outline a North-South trade model with endogenous robot adoption that accounts for the different channels shown in the data. Our findings highlight the importance of taking into account supply chain linkages and suggest net positive effects for Southern exporters.
Subjects: 
robotization
firm-level trade
value chain linkages
sourcing
JEL: 
D20
F14
L20
O33
Document Type: 
Working Paper
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