Imported Intermediate Inputs and Domestic Product Growth: Evidence from India

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ID: 295408
2010
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Abstract
New goods play a central role in many trade and growth models. We use detailed trade and firm-level data from India to investigate the relationship between declines in trade costs, imports of intermediate inputs, and domestic firm product scope. We estimate substantial gains from trade through access to new imported inputs. Moreover, we find that lower input tariffs account on average for 31% of the new products introduced by domestic firms. This effect is driven to a large extent by increased firm access to new input varieties that were unavailable prior to the trade liberalization.
Reference Key
openalex_W2172996358 Use this key to autocite in the manuscript while using SciMatic Manuscript Manager or Thesis Manager
Authors Pinelopi Goldberg, Ankur Khandelwal, Nina Pavcnik, Petia Topalova
Journal the quarterly journal of economics
Year 2010
DOI
10.1162/qjec.2010.125.4.1727
URL
https://doi.org/10.1162/qjec.2010.125.4.1727
Keywords Keywords not found

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