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Full-Text Articles in International Economics

Use Of Imported Inputs And The Cost Of Importing: Evidence Form Developing Countries, Mohammad Amin, Asif Islam Aug 2014

Use Of Imported Inputs And The Cost Of Importing: Evidence Form Developing Countries, Mohammad Amin, Asif Islam

Mohammad Amin

For a representative sample of manufacturing firms in 26 countries, the paper shows that changes in the cost of importing over time is significantly and negatively correlated with changes in the percentage of firm’s material inputs that are of foreign origin. Furthermore, we show that there may be a non-linear relationship between import costs and imports. These findings are important as recent studies point towards a significant positive effect of imported inputs on productivity and growth. We hope that the present paper inspires more work on the determinants of imported inputs usage especially in developing countries.


Use Of Foreign Intermediate Inputs In Developing Countries: Determinants And Effects (Short Note), Mohammad Amin, Asif Islam, Po Yin Wong May 2014

Use Of Foreign Intermediate Inputs In Developing Countries: Determinants And Effects (Short Note), Mohammad Amin, Asif Islam, Po Yin Wong

Mohammad Amin

Theory suggests a number of channels through which use of foreign inputs could contribute to overall economic development and firm performance. However, empirical work on the use of foreign inputs, its determinants and effects is lacking. Using firm-level data from Enterprise Surveys on developing countries, this note highlights the extent to which firms rely on foreign inputs, how the reliance varies with country and firm characteristics and the impact of foreign inputs on firm productivity. Results show that the use of foreign inputs is common among private firms and especially so among the relatively large firms and firms in countries …