The Heterogeneous Impacts Of Import Competition On Mexican Manufacturing Plants
DOWNLOAD
READ
Download The Heterogeneous Impacts Of Import Competition On Mexican Manufacturing Plants PDF/ePub or read online books in Mobi eBooks. Click Download or Read Online button to get The Heterogeneous Impacts Of Import Competition On Mexican Manufacturing Plants book now. This website allows unlimited access to, at the time of writing, more than 1.5 million titles, including hundreds of thousands of titles in various foreign languages. If the content not found or just blank you must refresh this page
The Heterogeneous Impacts Of Import Competition On Mexican Manufacturing Plants
DOWNLOAD
READ
Author : Juan S. Blyde
language : en
Publisher:
Release Date : 2019
The Heterogeneous Impacts Of Import Competition On Mexican Manufacturing Plants written by Juan S. Blyde and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2019 with categories.
We study the impact of import competition on Mexican firm outcomes between 2003 and 2013 by exploiting variation in import penetration across industries. Focusing on the increase in import competition from China that Mexico experienced during this period, we find that the trade shock induced a decline in employment, sales, exports, and productivity. Importantly, the results show that the average impact hides significant heterogeneity effects, with smaller and less efficient plants experiencing the largest adjustments, while the most efficient plants exhibited relatively minor effects and, for some outcomes, no effects at all. The existence of heterogeneous impacts across establishments is consistent with other sets of findingsfor instance, that the productivity gap between small and large plants has been increasing over time and that the reallocation of resources has been productivity-enhancing, particularly in sectors that have experienced large-scale import penetration from China.
Competition Productivity And Product Mix
DOWNLOAD
READ
Author : Mauro Caselli
language : en
Publisher:
Release Date : 2021
Competition Productivity And Product Mix written by Mauro Caselli and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2021 with categories.
We investigate the effect of the rise in product market competition, measured by the increase in Chinese exports to Mexico and the US, on the productivity of Mexican plants between 1994 and 2007. We use detailed panel data on Mexican manufacturers matched with trade data at the product level. Using quantity-based estimates of plant-level productivity, we identify the effect of increased foreign competition on Mexican plants. We find robust evidence of a heterogeneous effect, with foreign competition causing initially low-productivity plants to fall farther behind their peers. We focus on within-plant reallocation of output as an intermediate mechanism. All plants reallocate production towards existing higher revenue products increasing skewness of within-plant sales distribution, but along the extensive margin, both within and across plants, the selection mechanism in terms of product dropping and plant exit appears impaired. However, initially high-productivity plants experience a high degree of product churning in response to competition by introducing new products while their low-productivity peers maintain the status quo. Interesting differences also emerge in terms of the types of products being introduced with initially low-productivity plants substantially less likely to introduce products closer to their comparative advantage or with higher potential for productivity-enhancement, possibly contributing towards such plants' loss in productivity.
The Impact Of Foreign Direct Investment And Trade Policy On Productivity Wages And Technology Adoption In Mexican Manufacturing Plants
DOWNLOAD
READ
Author : Billy D. Kosteas
language : en
Publisher:
Release Date : 2004
The Impact Of Foreign Direct Investment And Trade Policy On Productivity Wages And Technology Adoption In Mexican Manufacturing Plants written by Billy D. Kosteas and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2004 with Factories categories.
Foreign Competition Skill Premium And Product Quality
DOWNLOAD
READ
Author : Thi Hang Banh
language : en
Publisher:
Release Date : 2022
Foreign Competition Skill Premium And Product Quality written by Thi Hang Banh and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2022 with categories.
This paper analyses the effect of rising competition from Chinese exports on the skill premium of Mexican plants. Using detailed product-plant-level production data from Mexico and bilateral product-level trade data for 1994-2007, we provide evidence that Mexican plants reduce their skill premium in response to increasing competition from Chinese exports, and the effect is more pronounced among non-exporting plants. Thus, we develop a model linking competition and wage inequality between skilled and unskilled workers by introducing these two types of labour to a model with heterogeneous firms and quality differentiation. Our model predicts that tougher competition leads plants to downgrade quality, which induces a decline in the wage difference between skilled and unskilled workers. We investigate this hypothesis empirically by analysing the effect of Chinese competition on the product quality of Mexican plants. Consistent with the fall in the skill premium, we document a downgrading impact of China's rise on Mexican plants' product quality and this quality downgrading is less intense for products sold in the foreign market. These findings provide empirical support for the predictions of our model.
Essays On The Local Labor Market Effects Of Globalization
DOWNLOAD
READ
Author : Oscar Alejandro Mendez Medina
language : en
Publisher:
Release Date : 2015
Essays On The Local Labor Market Effects Of Globalization written by Oscar Alejandro Mendez Medina and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2015 with categories.
This dissertation consists of a series of papers studying the effect that globalization in its multiple forms has had on Mexican local labor markets. In Chapter 1, 'Trade Shocks and Mexican Local Labor Markets in the Great Recession', I study the role that international trade played in the transmission of the U.S. credit crisis to Mexican local labor markets. The economic opening process that Mexico started by opening up to international trade in the mid-1980s when it became a member of the GATT, and then reinforced in 1994 when NAFTA was enacted, has created a strong link between the business cycles of Mexico and the United States (Robertson, 2000). This trade-driven phenomenon has had significant consequences for Mexico's economic geography (Hanson, 1996). In particular, easier access to the U.S. market increased the level of dependence on exports to the U.S. for some Mexican municipalities. This increase in dependence was not homogenous throughout the country, mostly due to differences by municipality in transportation costs and industry specialization. This heterogeneity, plus the evolution of U.S. trade during the Great Recession (2007-2009), which involved a $40 billion drop in U.S. imports from Mexico, allows me to identify the role that these trade linkages played in the transmission of the crisis to Mexican local labor markets. I show that differences in manufacturing industry structure caused by Mexico's opening process have made a subset of Mexican municipalities especially vulnerable to economic events in the U.S. I find that Mexican regions that exported relatively more to the U.S. experienced large and significant differential effects when compared to municipalities more focused on the domestic market. Mexican regions with significant ties to the U.S. market experienced, during the crisis, a significantly larger decrease in employment and wages, and greater within local labor market adjustments than their less open counterparts, mainly characterized by large drops in manufacturing employment and significant increases in employment in the service and agricultural industries. Pursuing the same line of research, the second chapter of my dissertation explores 'The Effect of Chinese Import Competition on Mexican Local Labor Markets'. Recent estimates of the effect of globalization on labor markets have found that trade is having an increasingly larger impact on wage inequality. Particularly relevant is the "China Syndrome" study by Autor, Dorn, and Hanson (2013a), which presents evidence on the disruptive effects that import competition can have on a developed economy by estimating the impact that Chinese import competition had on U.S. local labor markets. One would expect to find that Chinese exports also had a large and significant effect on developing economies, particularly on those specialized in the production of labor-intensive goods. My paper contributes to the study of this relationship by analyzing the Mexican case. Following the methodology introduced in Autor et al. (2013a), I exploit variation across Mexican regions in import exposure stemming from initial differences in industry specialization in order to estimate the effect Chinese competition had on local Mexican labor markets. Also, by taking advantage of the Mexican exports' high dependence on the U.S. market, I estimate the effect that China-caused trade diversion had on Mexican labor markets. I find that the increase in competition decreased the employment share in manufacturing for the average Mexican local labor market. This effect was found to be larger for regions with high exposure to Chinese competition in the U.S. market, showing that there was a significant, negative indirect effect from China's trade growth. Workers' mobility also increased due to this negative shock. I name the third chapter 'Mexican Migrants' Response to a Trade Shock'. This study exploits the variation created by Chinese import competition across Mexican states and combines it with variation across U.S. states in their likelihood of receiving Mexican migrants in order to yield a causal estimate of the variation in the Mexican share of the labor force across U.S. states. The purpose of this study is both to determine whether international migration can be affected by external trade shocks, a topic very scantily studied in the economic literature of both trade and migration, and to open the doors to a study of migration effects on the receiving economy by using a plausibly exogenous shock to migration, as is the increase in import competition by China. I find that the increase in Mexican imports from China had a significant effect on Mexican workers' mobility towards the U.S. labor markets.
Trading Promises For Results
DOWNLOAD
READ
Author : Mauricio Mesquita Moreira
language : en
Publisher:
Release Date : 2019-11-07
Trading Promises For Results written by Mauricio Mesquita Moreira and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2019-11-07 with categories.
Does Import Competition Induce R D Reallocation Evidence From The U S
DOWNLOAD
READ
Author : Rui Xu
language : en
Publisher: International Monetary Fund
Release Date : 2017-11-16
Does Import Competition Induce R D Reallocation Evidence From The U S written by Rui Xu and has been published by International Monetary Fund this book supported file pdf, txt, epub, kindle and other format this book has been release on 2017-11-16 with Business & Economics categories.
We analyze the impact of rising import competition from China on U.S. innovative activities. Using Compustat data, we find that import competition induces R&D expenditures to be reallocated towards more productive and more profitable firms within each industry. Such reallocation effect has the potential to offset the average drop in firm-level R&D identified in the previous literature. Indeed, our quantitative analysis shows no adverse impact of import competition on aggregate R&D expenditures. Taking the analysis beyond manufacturing, we find that import competition has led to reallocation of researchers towards booming service industries, including business and repairs, personal services, and financial services.
Survival Of The Best Fit
DOWNLOAD
READ
Author : Andrew B. Bernard
language : en
Publisher:
Release Date : 2012
Survival Of The Best Fit written by Andrew B. Bernard and has been published by this book supported file pdf, txt, epub, kindle and other format this book has been release on 2012 with categories.
We examine the relationship between import competition from low wage countries and the reallocation of US manufacturing from 1977 to 1997. Both employment and output growth are slower for plants that face higher levels of low wage import competition in their industry. As a result, US manufacturing is reallocated over time towards industries that are more capital and skill intensive. Differential growth is driven by a combination of increased plant failure rates and slower growth of surviving plants. Within industries, low wage import competition has the strongest effects on the least capital and skill intensive plants. Surviving plants that switch industries move into more capital and skill intensive sectors when they face low wage competition.
How China Is Reshaping The Global Economy
DOWNLOAD
READ
Author : Rhys Jenkins
language : en
Publisher: Oxford University Press
Release Date : 2022
How China Is Reshaping The Global Economy written by Rhys Jenkins and has been published by Oxford University Press this book supported file pdf, txt, epub, kindle and other format this book has been release on 2022 with Africa, Sub-Saharan categories.
China's growing economic involvement in Sub-Saharan Africa and Latin America has been a source of major controversy. The official Chinese position maintains that the growth of bilateral relations is of mutual benefit and provides a good example of South-South cooperation. Critics on the other hand see the economic relations between China and other developing countries as highly unequal with most of the benefits accruing to China and a few local elites. They also point to negative socio-economic, political, and environmental consequences. How China is Reshaping the Global Economy: Development Impacts in Africa and Latin-America throws more light on these controversies through a comparative study of China's impact on the two regions. It looks not just at bilateral relations between China and the two regions but also analyses the changes in the global economy brought about as a result of the shift in economic activity from North America and Western Europe to Asia. This book looks at the factors which led to rapid economic growth in China and the way in which this has affected global manufacturing, commodity markets, the international presence of Chinese companies, and financial glows. It examines the different forms of Chinese economic involvement in Sub-Saharan Africa and Latin America, the main drivers, and economic, social, political, and environmental consequences. It ends with a comparison of the two regions that highlights the importance of different histories and political and institutional contexts in determining the impacts of China. Since the first edition of How China is Reshaping the Global Economy: Development Impacts in Africa and Latin-America, China's role in the global economy has continued to expand and the Chinese government's foreign policy has become more assertive. The global presence of China has been marked by the expansion of the Belt and Road Initiative to almost 150 countries and the trade-war between the US and China, as well as increased Western concerns over the activities of major Chinese companies such as Huawei. This new edition documents these changes and their implications for SSA and LAC.
What Is The Impact Of Increased Business Competition
DOWNLOAD
READ
Author : Sónia Félix
language : en
Publisher: International Monetary Fund
Release Date : 2019-12-13
What Is The Impact Of Increased Business Competition written by Sónia Félix and has been published by International Monetary Fund this book supported file pdf, txt, epub, kindle and other format this book has been release on 2019-12-13 with Business & Economics categories.
This paper studies the macroeconomic effect and underlying firm-level transmission channels of a reduction in business entry costs. We provide novel evidence on the response of firms' entry, exit, and employment decisions. To do so, we use as a natural experiment a reform in Portugal that reduced entry time and costs. Using the staggered implementation of the policy across the Portuguese municipalities, we find that the reform increased local entry and employment by, respectively, 25% and 4.8% per year in its first four years of implementation. Moreover, around 60% of the increase in employment came from incumbent firms expanding their size, with most of the rise occurring among the most productive firms. Standard models of firm dynamics, which assume a constant elasticity of substitution, are inconsistent with the expansionary and heterogeneous response across incumbent firms. We show that in a model with heterogeneous firms and variable markups the most productive firms face a lower demand elasticity and expand their employment in response to increased entry.