Patterns of Export Diversification in Developing Countries: Intensive and Extensive Margins
34 Pages Posted: 20 Apr 2016
Date Written: January 1, 2008
Abstract
This paper uses highly disaggregated trade data to investigate geographic and product diversification patterns across a group of developing nations for the period from 1990 to 2005. The econometric investigation shows that the gravity equation fits the observed differences in diversification across nations. The analysis shows that exports at the intensive margin account for the most important share of overall trade growth. At the extensive margin, geographic diversification is more important than product diversification, especially for developing countries. Taking part in free trade agreements, thereby reducing trade costs, and trading with countries in the North are also found to have positive impacts on export diversification for developing countries.
Keywords: Economic Theory & Research, Free Trade, Trade Policy, Emerging Markets, Achieving Shared Growth
Suggested Citation: Suggested Citation
Do you have a job opening that you would like to promote on SSRN?
Recommended Papers
-
Economic Development as Self-Discovery
By Ricardo Hausmann and Dani Rodrik
-
Economic Development as Self-Discovery
By Ricardo Hausmann and Dani Rodrik
-
Economic Development as Self-Discovery
By Ricardo Hausmann and Dani Rodrik
-
By Jean M. Imbs and Romain T. Wacziarg
-
By Jean M. Imbs and Romain T. Wacziarg
-
By Ricardo Hausmann, Jason Hwang, ...
-
By Ricardo Hausmann, Jason Hwang, ...
-
By Dani Rodrik, Ricardo Hausmann, ...
-
Industrial Policy for the Twenty-First Century
By Dani Rodrik
-
Industrial Policy for the Twenty-First Century
By Dani Rodrik