Export Diversification: What’s behind the Hump?

Olivier Cadot, Celine Carrere and Vanessa Strauss-Khan

No 200934, Working Papers from CERDI

Abstract: The paper explores the evolution of export diversification patterns along the economic development path. Using a large database with 156 countries over 19 years at the HS6 level of disaggregation (4’991 product lines) we look for action at the “intensive” and “extensive” margins (diversification of export values among active product lines and by addition of new product lines respectively) using various export concentration indices and the number of active export lines. We also look at new product introduction as an indicator of “export-entrepreneurship”. We find a hump-shaped pattern of export diversification similar to what Imbs and Wacziarg (2003) found for production and employment. Diversification and subsequent re-concentration take place mostly along the extensive margin, although the intensive margin follows the same pattern. This hump-shaped pattern is consistent with the conjecture that countries travel across diversification cones, as discussed in Schott (2003, 2004) and Xiang (2007).

Keywords: Export diversification; International trade (search for similar items in EconPapers)
JEL-codes: F1 O11 (search for similar items in EconPapers)
Pages: 41
Date: 2009-11
New Economics Papers: this item is included in nep-int
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

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Related works:
Journal Article: Export Diversification: What's behind the Hump? (2011)
Working Paper: Export Diversification: What's behind the Hump? (2011)
Working Paper: Export Diversification:What's behind the Hump? (2011)
Working Paper: Export Diversification: What's behind the Hump? (2011)
Working Paper: Export Diversification: What's behind the Hump? (2011)
Working Paper: Export Diversification:What's behind the Hump? (2011)
Working Paper: Export Diversification: What's behind the Hump? (2010)
Working Paper: Export Diversification:What’s behind the Hump? (2007)
Working Paper: Export Diversification: What?s behind the Hump? (2007)
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