Abstract:
Competitiveness is a hotly-debated topic among policy-makers and businessmen throughout the world. Yet it has been the subject of surprisingly little rigorous economic analysis. The paper presents a method which draws on economic theory to measure competitiveness and its sources at the firm- and industry-levels. It shows that manufacturing firms in Mali are competitive only on their local market where protection offsets a fundamental lack of comparative advantage. Regional integration and trade liberalization thus constitute major challenges with only the textiles sector in a position to potentially exploit the resulting export opportunities.
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