Exploring the Heterogeneous Effects of Export Promotion
A semiparametric varying coefficient model is used to explore the heterogeneity in returns to export promotion across countries. Differences in characteristics of export-promotion agencies drive the heterogeneity in returns. Interestingly, characte...
| Main Authors: | , , |
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| Format: | Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2019
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/996301556542118737/Exploring-the-Heterogeneous-Effects-of-Export-Promotion http://hdl.handle.net/10986/31598 |
| Summary: | A semiparametric varying coefficient
model is used to explore the heterogeneity in returns to
export promotion across countries. Differences in
characteristics of export-promotion agencies drive the
heterogeneity in returns. Interestingly, characteristics
that matter for export growth do not necessarily matter for
GDP per capita growth. A 1 percent increase in
export-promotion budgets is associated with an average
increase in exports of 0.10 percent and an average increase
in GDP per capita of 0.06 percent. However, these average
returns hide a lot of heterogeneity. Returns in terms of
exports vary from 0 percent in Cyprus and Vietnam to 0.22
percent in Portugal. Returns in terms of GDP per capita show
less heterogeneity, varying from 0.05 in Malawi to 0.10
percent in Portugal and Nicaragua. |
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