Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/175482
Authors: 
Bagayev, Igor
Davies, Ronald B.
Year of Publication: 
2017
Series/Report no.: 
Working Paper Series 17/03
Abstract: 
One rationale for the infant industry argument is that, by protecting domestic firms from foreign competition, this increases rents and investment in innovation and other growth enhancing measures. Using data on 4,750 firms across 13 developing countries, we examine whether protection via tariffs or non-tariff measures (SPS and TBT specifically) increase innovation in either products or processes. We find no such evidence; instead we find a small negative impact of protection, particularly tariffs and TBTs, on innovation.
Subjects: 
Non-Tariff Measures
Technical Barriers to Trade
Innovation
Infant Industry
JEL: 
F13
H57
F12
Document Type: 
Working Paper
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