Indirect exporters and importers
Marco Grazzi () and
Chiara Tomasi ()
Working Papers from Dipartimento Scienze Economiche, Universita' di Bologna
This paper analyses the relation between firms' productivity and the different modes of participation to international trade. In particular, we account for the possibility that firms can not only export their products, but also internationally source their inputs, either directly or indirectly. Using a cross section of firm-level data for several advanced and developing economies, the study confirms the productivity-sorting prediction according to which domestic firms are less efficient than those resorting to an export intermediary, while the latter are less productive than producers which export directly. We show that the same sorting exists also on the import side. Finally, we investigate the effects of source country characteristics on the sorting of firms into different modes of international trade.
JEL-codes: F14 D22 L22 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-int and nep-opm
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Journal Article: Indirect exporters and importers (2016)
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Persistent link: https://EconPapers.repec.org/RePEc:bol:bodewp:wp1005
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