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Imports and TFP at the Firm Level: The Role of Absorptive Capacity

Patricia Augier (), Olivier Cadot and Marion Dovis ()

No P44, Working Papers from FERDI

Abstract: This paper estimates the effect of the decision to import intermediate goods and capital equipment on Total Factor Productivity (TFP) at the firm level on a panel of Spanish firms (1991-2002). We use two alternative approaches. In the first, we estimate TFP and apply a diff-in-diff estimator with a control group constructed by propensity-score matching. In the second, direct method, we estimate TFP with imported inputs as a state variable in one stage. Both approaches show that the effect of a firm’s decision to source intermediates and capital equipment abroad on its TFP depends critically on its capacit y to absorb technology, measured by the proportion of skilled labor.

JEL-codes: F2 O1 O2 (search for similar items in EconPapers)
Date: 2012-04
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Citations: View citations in EconPapers (1)

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Related works:
Journal Article: Imports and TFP at the firm level: the role of absorptive capacity (2013) Downloads
Journal Article: Imports and TFP at the firm level: the role of absorptive capacity (2013) Downloads
Working Paper: Imports and TFP at the firm level: the role of absorptive capacity (2013)
Working Paper: Imports and TFP at the Firm Level: The Role of Absorptive Capacity (2012) Downloads
Working Paper: Imports and TFP at the Firm Level: The Role of Absorptive Capacity (2010) Downloads
Working Paper: Imports and TFP at the Firm Level: The Role of Absorptive Capacity (2009) Downloads
Working Paper: Imports and TFP at the Firm Level: The Role of Absorptive Capacity (2009) Downloads
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