The Impact of Special Economic Zones on Exporting Behavior

Ronald Davies and Arman Mazhikeyev

No 201528, Working Papers from School of Economics, University College Dublin

Abstract: Using firm level data from Africa and Asia, we estimate the impact of being in a special economic zone (SEZ) on a firm’s probability of exporting, export intensity, and value of exports. At the extensive margin, we find that SEZ firms in open economies are 25% more likely to export than their non-SEZ counterparts, with a large negative effect in closed economies. At the intensive margin, we find that SEZs increase the value of exports, but only in countries with barriers to imports where the estimate increase is 3.6%. Thus, the estimated effect of introducing an SEZ can be meaningful, but is heavily contingent on the local economic environment.

Keywords: Exporting; Trade barriers; Special economic zones (search for similar items in EconPapers)
JEL-codes: F14 J16 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2015-11
New Economics Papers: this item is included in nep-int and nep-sea
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Citations: View citations in EconPapers (8)

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http://hdl.handle.net/10197/7226 First version, 2015 (application/pdf)

Related works:
Journal Article: The Impact of Special Economic Zones on Exporting Behavior (2019)
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Persistent link: https://EconPapers.repec.org/RePEc:ucn:wpaper:201528

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