From selling goods to selling services: firm responses to trade liberalization

Breinlich, Holger and Soderbery, Anson and Wright, Greg C. (2018) From selling goods to selling services: firm responses to trade liberalization. American Economic Journal: Economic Policy . ISSN 1945-7731

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Abstract

In this paper we focus on a new channel of adaptation to trade liberalization, namely the shift toward increased provision of services in lieu of goods production. We

exploit variation in European Union trade policy to show that lower manufacturing tariffs lead firms to shift into services provision and out of goods production. We also find that a successful transition is associated with higher firm-level R&D stocks.

Item Type: Article
Keywords: Services Trade, Trade Liberalization, Import Competition
Schools/Departments: University of Nottingham, UK > Faculty of Social Sciences > School of Economics
Depositing User: Eprints, Support
Date Deposited: 01 Feb 2018 10:47
Last Modified: 26 Sep 2018 04:30
URI: http://eprints.nottingham.ac.uk/id/eprint/49480

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