Development through synergistic reforms

• 成果类型: Article
• 署名作者: Rauch, James E.
• 署名单位: University of California System; University of California San Diego; National Bureau of Economic Research
• 刊物名称: JOURNAL OF DEVELOPMENT ECONOMICS
• ISSN/ISSBN: 0304-3878
• DOI: 10.1016/j.jdeveco.2009.10.003
• 发表日期: 2010
• 页码: 153-161
• 关键词: development; heterogeneous firms; Institutional reform; synergy

摘要

For many less developed countries production of high quality output is a precondition for firms to become exporters. Institutional deficiencies that raise costs of high quality production therefore limit the positive impact that trade facilitation can have on income. Consequently, institutional reforms that reduce costs of high quality production and trade reform have synergistic effects. In contrast, institutional reforms that reduce costs of low quality production (e.g., reforms that disproportionately benefit small businesses) interfere with the impact of trade reform. We obtain these results in a heterogeneous firm model that displays standard industry rationalization responses to reduced trade costs. (C) 2009 Elsevier B.V. All rights reserved.