Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/146284
Authors: 
Newman, Carol
Rand, John
Tarp, Finn
Year of Publication: 
2016
Series/Report no.: 
WIDER Working Paper 2016/90
Abstract: 
This paper explores the relationship between imports and firm productivity, focusing on imported intermediates. Using firm-level data on over 20,000 manufacturing firms in Viet Nam, we find evidence for competition-induced productivity gains from trade. We show that gains in intermediate sectors spill-over to downstream sectors such that firms using more inputs from import-intensive sectors experience higher productivity gains. The evidence indicates that the main source of spill-over is better quality, domestically produced inputs. Ignoring the gains from trade through this mechanism may significantly underestimate the impact of trade on productivity.
Subjects: 
imports
supply chains
productivity
Viet Nam
JEL: 
F61
F63
F14
O12
O53
ISBN: 
978-92-9256-133-8
Document Type: 
Working Paper

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