Trade Integration, Export Patterns, and Growth in Sub-Saharan Africa
This paper examines systematically the growth effects of trade integration in Sub-Saharan Africa. It complements and improves upon the empirical literature in two aspects: first, it jointly estimates the impact of different dimensions of trade inte...
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World Bank, Washington, DC
2020
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| Online Access: | http://documents.worldbank.org/curated/en/812731580315829595/Trade-Integration-Export-Patterns-and-Growth-in-Sub-Saharan-Africa http://hdl.handle.net/10986/33268 |
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okr-10986-332682022-09-20T00:10:30Z Trade Integration, Export Patterns, and Growth in Sub-Saharan Africa Calderon, Cesar Cantu, Catalina Zeufack, Albert G. TRADE INTEGRATION EXPORT DIVERSIFICATION EXPORT PATTERNS ECONOMIC GROWTH REGIONAL TRADE TOTAL FACTOR PRODUCTIVITY MANUFACTURING TRADE This paper examines systematically the growth effects of trade integration in Sub-Saharan Africa. It complements and improves upon the empirical literature in two aspects: first, it jointly estimates the impact of different dimensions of trade integration, namely, trade volumes, export/trade patterns by product (primary and manufacturing goods), and by destination (inter- and intra-regional). Second, it estimates the impact of trade integration on economic growth and its sources, that is, capital accumulation and total factor productivity growth. The analysis finds causal evidence that trade integration fosters growth. Additionally, manufacturing trade boosts growth and trade in primary goods hampers growth. Doubling the manufacturing trade share in Sub-Saharan Africa's gross domestic product would increase growth by 1.9 percentage points per year, while increases in primary trade reduce growth by 1 percentage point. This impact is mainly transmitted through lower capital accumulation. Finally, inter- and intra-regional trade have a positive impact on growth in Sub-Saharan Africa. Doubling inter-regional trade will increase growth by 1.9 percentage points, and the same increase for intra-regional trade enhances growth by 0.6 percentage points. The effects of inter-regional trade are transmitted primarily through capital accumulation, while those of intra-regional trade are channeled through enhanced total factor productivity growth. 2020-01-30T21:11:53Z 2020-01-30T21:11:53Z 2020-01 Working Paper http://documents.worldbank.org/curated/en/812731580315829595/Trade-Integration-Export-Patterns-and-Growth-in-Sub-Saharan-Africa http://hdl.handle.net/10986/33268 English Policy Research Working Paper;No. 9132 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Africa Sub-Saharan Africa |
| repository_type |
Digital Repository |
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Foreign Institution |
| institution |
Digital Repositories |
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World Bank Open Knowledge Repository |
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World Bank |
| language |
English |
| topic |
TRADE INTEGRATION EXPORT DIVERSIFICATION EXPORT PATTERNS ECONOMIC GROWTH REGIONAL TRADE TOTAL FACTOR PRODUCTIVITY MANUFACTURING TRADE |
| spellingShingle |
TRADE INTEGRATION EXPORT DIVERSIFICATION EXPORT PATTERNS ECONOMIC GROWTH REGIONAL TRADE TOTAL FACTOR PRODUCTIVITY MANUFACTURING TRADE Calderon, Cesar Cantu, Catalina Zeufack, Albert G. Trade Integration, Export Patterns, and Growth in Sub-Saharan Africa |
| geographic_facet |
Africa Sub-Saharan Africa |
| relation |
Policy Research Working Paper;No. 9132 |
| description |
This paper examines systematically the
growth effects of trade integration in Sub-Saharan Africa.
It complements and improves upon the empirical literature in
two aspects: first, it jointly estimates the impact of
different dimensions of trade integration, namely, trade
volumes, export/trade patterns by product (primary and
manufacturing goods), and by destination (inter- and
intra-regional). Second, it estimates the impact of trade
integration on economic growth and its sources, that is,
capital accumulation and total factor productivity growth.
The analysis finds causal evidence that trade integration
fosters growth. Additionally, manufacturing trade boosts
growth and trade in primary goods hampers growth. Doubling
the manufacturing trade share in Sub-Saharan Africa's
gross domestic product would increase growth by 1.9
percentage points per year, while increases in primary trade
reduce growth by 1 percentage point. This impact is mainly
transmitted through lower capital accumulation. Finally,
inter- and intra-regional trade have a positive impact on
growth in Sub-Saharan Africa. Doubling inter-regional trade
will increase growth by 1.9 percentage points, and the same
increase for intra-regional trade enhances growth by 0.6
percentage points. The effects of inter-regional trade are
transmitted primarily through capital accumulation, while
those of intra-regional trade are channeled through enhanced
total factor productivity growth. |
| format |
Working Paper |
| author |
Calderon, Cesar Cantu, Catalina Zeufack, Albert G. |
| author_facet |
Calderon, Cesar Cantu, Catalina Zeufack, Albert G. |
| author_sort |
Calderon, Cesar |
| title |
Trade Integration, Export Patterns, and Growth in Sub-Saharan Africa |
| title_short |
Trade Integration, Export Patterns, and Growth in Sub-Saharan Africa |
| title_full |
Trade Integration, Export Patterns, and Growth in Sub-Saharan Africa |
| title_fullStr |
Trade Integration, Export Patterns, and Growth in Sub-Saharan Africa |
| title_full_unstemmed |
Trade Integration, Export Patterns, and Growth in Sub-Saharan Africa |
| title_sort |
trade integration, export patterns, and growth in sub-saharan africa |
| publisher |
World Bank, Washington, DC |
| publishDate |
2020 |
| url |
http://documents.worldbank.org/curated/en/812731580315829595/Trade-Integration-Export-Patterns-and-Growth-in-Sub-Saharan-Africa http://hdl.handle.net/10986/33268 |
| _version_ |
1764478359098621952 |