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    Aid for Trade and the Quality of Exports

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    Main article (309.1Kb)
    Date
    2017
    Author
    Wang, Zheng;
    Xu, Meina
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    Abstract
    This paper studies how aid for trade (AfT) affects the quality of recipient countries’ exports. It shows that the quality effect is most discernible for AfT for assistance in trade policy: a 50% increase in the value of AfT received in this category is associated with a 0.5%-1% increase in the quality of exports to the donor and other OECD countries. On average, the actual AfT received for assistance in trade policy leads to a 2% upgrade of the recipient country in the quality ladder of all developing countries. Around half of this quality effect is driven by the quality improvement of continued products in continued markets (intensive margin), and the other half by the quality upgrading of new products in continued markets and existing products in new markets (extensive margin).
    Description
    The file attached to this record is the author's final peer reviewed version. The Publisher's final version can be found by following the DOI link.
    Citation : Wang, Z. and Xu, M. (2018) Aid for Trade and the Quality of Exports. Applied Economics Letters, 25(10), pp. 668-673.
    URI
    http://hdl.handle.net/2086/14302
    DOI
    https://doi.org/10.1080/13504851.2017.1355535
    Research Institute : Institute for Applied Economics and Social Value (IAESV)
    Peer Reviewed : Yes
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    • Department of Economics and Marketing [176]

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