Download or read book Service Liberalization and Manufacturing Productivity written by Christopher Findlay and published by . This book was released on 2022 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: The productivity of manufacturing firms in China has increased tremendously after China's WTO accession. Most of the existing research focuses on examining the contribution of input and output tariff reductions to the increasing productivity of Chinese manufacturing firms. However, an unneglectable share of the inputs for an average manufacturing firm is services. In this paper, we examine the importance of the overlooked factor - service liberalization - in contributing to the increasing productivity of Chinese manufacturing firms. Our identification strategy utilizes a unique feature of service liberalization in China: different services sectors are liberalized across various regions at different times according to the geographic schedule of China's WTO accession commitment. Using a representative panel of manufacturing firms in the Chinese Annual Industrial Surveys, we find that liberalizing key services sectors such as finance, telecommunication, and distribution has a significant and positive impact on the productivity of manufacturing firms. Based on our estimation, service liberalization has contributed to about 12% of the average manufacturing productivity growth in China during our sample period of 1998-2007. We further provide evidence on the heterogeneous impact of service liberalization and explore the possible mechanisms for its positive effects on firm productivity.

Download or read book Does Services Liberalization Benefit Manufacturing Firms written by Jens Matthias Arnold and published by World Bank Publications. This book was released on 2007 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: While there is considerable empirical evidence on the impact of liberalizing trade in goods, the effects of services liberalization have not been empirically established. Using firm-level data from the Czech Republic for the period 1998-2003, this study examines the link between services sector reforms and the productivity of domestic firms in downstream manufacturing. Several aspects of services reform are considered and measured, namely, the increased presence of foreign providers, privatization, and enhanced competition. The manufacturing-services linkage is measured using information on the degree to which manufacturing firms in a particular industry rely on intermediate inputs from specific services sectors. The econometric results lead to two conclusions. First, the study finds that services policy matters for the productivity of manufacturing firms relying on services inputs. This finding is robust to several econometric specifications, including controlling for unobservable firm heterogeneity and for other aspects of openness. Second, it finds evidence that opening services sectors to foreign providers is a key channel through which services liberalization contributes to improved performance of downstream manufacturing sectors. This finding is robust to instrumenting for the extent of foreign presence in services industries. As most barriers to foreign investment today are not in goods but in services sectors, the findings may strengthen the argument for reform in this area.

Download or read book Does Services Liberalization Benefit Manufacturing Firms Evidence from the Czech Republic written by Jens Matthias Arnold and published by . This book was released on 2016 with total page 38 pages. Available in PDF, EPUB and Kindle. Book excerpt: While there is considerable empirical evidence on the impact of liberalizing trade in goods, the effects of services liberalization have not been empirically established. Using firm-level data from the Czech Republic for the period 1998-2003, this study examines the link between services sector reforms and the productivity of domestic firms in downstream manufacturing. Several aspects of services reform are considered and measured, namely, the increased presence of foreign providers, privatization, and enhanced competition. The manufacturing-services linkage is measured using information on the degree to which manufacturing firms in a particular industry rely on intermediate inputs from specific services sectors. The econometric results lead to two conclusions. First, the study finds that services policy matters for the productivity of manufacturing firms relying on services inputs. This finding is robust to several econometric specifications, including controlling for unobservable firm heterogeneity and for other aspects of openness. Second, it finds evidence that opening services sectors to foreign providers is a key channel through which services liberalization contributes to improved performance of downstream manufacturing sectors. This finding is robust to instrumenting for the extent of foreign presence in services industries. As most barriers to foreign investment today are not in goods but in services sectors, the findings may strengthen the argument for reform in this area.

Download or read book Does Services Liberalization Benefit Manufacturing Firms Evidence from the Czech Republic written by Jens Arnold and published by . This book was released on 2012 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: While there is considerable empirical evidence on the impact of liberalizing trade in goods, the effects of services liberalization have not been empirically established. Using firm-level data from the Czech Republic for the period 1998-2003, this study examines the link between services sector reforms and the productivity of domestic firms in downstream manufacturing. Several aspects of services reform are considered and measured, namely, the increased presence of foreign providers, privatization, and enhanced competition. The manufacturing-services linkage is measured using information on the degree to which manufacturing firms in a particular industry rely on intermediate inputs from specific services sectors. The econometric results lead to two conclusions. First, the study finds that services policy matters for the productivity of manufacturing firms relying on services inputs. This finding is robust to several econometric specifications, including controlling for unobservable firm heterogeneity and for other aspects of openness. Second, it finds evidence that opening services sectors to foreign providers is a key channel through which services liberalization contributes to improved performance of downstream manufacturing sectors. This finding is robust to instrumenting for the extent of foreign presence in services industries. As most barriers to foreign investment today are not in goods but in services sectors, the findings may strengthen the argument for reform in this area.

Download or read book Trade Liberalization in Manufacturing and Accelerated Growth in Services in India written by Rajeev Dehejia and published by . This book was released on 2014 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: The impact of trade liberalization on accelerated manufacturing growth has been widely studied in the literature. What has gone unappreciated is that liberalization has also been accompanied by accelerated services growth. Using firm-level data from India, we find a positive spillover from manufacturing growth stimulated by trade and other liberalization to gross value added, wages, employment, and worker productivity in services, especially large urban firms and in service sectors whose output is used as a manufacturing input. We find that improved access to inputs via trade liberalization led to increased gross value added and worker productivity in capital-intensive service sectors.

Download or read book Services Liberalization and Productivity of Manufacturing Firms written by Oleksandr Shepotylo and published by . This book was released on 2014 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: Employing a unique database of Ukrainian firms in 2001-07, we use the external push for liberalization in the services sector as a source of exogenous variation to identify the effect of services liberalization on total factor productivity (TFP) of manufacturing firms. The results indicate that a standard deviation increase in services liberalization within a firm is associated with a 9.2 percent increase in TFP. The effect is stronger for firms with high productivity, bringing about a reallocation of resources within an industry. Industry-level results show that the effect of reallocation on industry productivity is almost as strong as the within-firm effect. The dynamic interaction of services liberalization and TFP through the investment channel reinforces the effect. The effect is robust to different estimation methods and to different sub-samples of the data. In particular, it is more pronounced for domestic and small firms.

Download or read book Services Liberalization and Productivity of Manufacturing Firms written by Oleksandr Shepotylo and published by . This book was released on 2017 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper brings new evidence on the impact of services liberalization on the performance of manufacturing firms. Using a unique database of Ukrainian firms in 2001-2007, the authors utilize an external push for liberalization in the services sector as a source of exogenous variation to identify the impact of services liberalization on total factor productivity (TFP) of manufacturing firms. The results indicate that a standard deviation increase in services liberalization is associated with a 9 percent increase in TFP. Allowing services liberalization to dynamically influence TFP through the investment channel leads to an even larger effect. The effect is robust to different estimation methods and to different sub-samples of the data. In particular, it is more pronounced for domestic and small firms.

Download or read book Impact of Services Liberalization on Productivity of Manufacturing Firms written by Oleksandr Shepotylo and published by . This book was released on 2011 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper brings new evidence on the impact of services liberalization on performance of manufacturing firms. Using a unique database of Ukrainian firms in 2001-2007, we utilize an external push for liberalization in services sector as a source of exogenous variation to identify the impact of services liberalization on total factor productivity (TFP) of manufacturing firms. Results indicate that a standard deviation increase in services liberalization is associated with a 9 percent increase in TFP. Allowing services liberalization to dynamically influence TFP through the investment channel leads to even higher effect. The effect is robust to different estimation methods and to different sub-samples of the data. In particular, it is more pronounced for domestic and small firms.

Download or read book Liberalization of Trade in Services and Productivity Growth in Korea written by Chong-il Kim and published by 대외경제정책연구원. This book was released on 2000 with total page 60 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Service Offshoring Productivity and Employment written by Mary Amiti and published by INTERNATIONAL MONETARY FUND. This book was released on 2005-12-01 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper estimates the effects of offshoring on productivity in U.S. manufacturing industries between 1992 and 2000, using instrumental variables estimation to address the potential endogeneity of offshoring. It finds that service offshoring has a significant positive effect on productivity in the US, accounting for around 11 percent of productivity growth during this period. Offshoring material inputs also has a positive effect on productivity, but the magnitude is smaller accounting for approximately 5 percent of productivity growth. There is a small negative effect of less than half a percent on employment when industries are finely disaggregated (450 manufacturing industries). However, this affect disappears at more aggregate industry level of 96 industries indicating that there is sufficient growth in demand in other industries within these broadly defined classifications to offset any negative effects.

Download or read book Leveraging Services for Development written by Matthias Helble and published by Brookings Institution Press. This book was released on 2019-10-29 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: The services economy is on the rise all around the world, and services now comprise the largest share of economic activity and employment in almost every country. This book presents the latest evidence demonstrating how technologies and globalization have transformed the services industry. Services are becoming increasingly tradable under World Trade Organization rules and regional trade agreements, and some services subsectors are also seeing rates of productivity growth comparable to that in manufacturing. At the same time, services are increasingly contributing to manufacturing success, and countries’ overall economic competitiveness now hinges crucially on the availability of high-quality and affordable services inputs. Furthermore, a well-functioning services sector can accelerate human development through better access to basic needs, such as education, energy, finance, health, water, and sanitation. Services can also be a source of good jobs with fewer negative environmental and social externalities. Overall, the ongoing structural transformation toward a services economy is a unique opportunity to achieve long-term income growth, which in turn promotes sustainable development. This book offers suggestions on how to achieve this, and is thus an indispensable read for researchers and policy makers alike.

Download or read book Regulation Productivity and Growth written by Giuseppe Nicoletti and published by World Bank Publications. This book was released on 2003 with total page 68 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this paper, we relate the scope and depth of regulatory reforms to growth outcomes in OECD countries. By means of a new set of quantitative indicators of regulation, we show that the cross-country variation of regulatory settings has increased in recent years, despite extensive liberalisation and privatisation in the OECD area. We then look at the regulation-growth linkage using data that cover a large set of manufacturing and service industries over the past two decades. We focus on multifactor productivity (MFP), which plays a crucial role in GDP growth and accounts for a significant share of its cross-country variance. We find evidence that reforms promoting private governance and competition (where these are viable) tend to boost productivity. Both privatisation and entry liberalisation are estimated to have a positive impact on productivity. In manufacturing the gains are greater the further a given country is from the technology leader, suggesting that regulation limiting ...

Download or read book The Factory free Economy written by Lionel Fontagné and published by Oxford University Press. This book was released on 2017 with total page 383 pages. Available in PDF, EPUB and Kindle. Book excerpt: An economic analysis of de-industrialization that considers the ongoing transformation of the industrial economies and the consequences for economic policy.

Download or read book Liberalizing Trade in Services written by Bernard M. Hoekman and published by World Bank Publications. This book was released on 2006 with total page 62 pages. Available in PDF, EPUB and Kindle. Book excerpt: Abstract: Since the mid 1980s a substantial amount of research has been undertaken on trade in services. Much of this is inspired by the World Trade Organization or regional trade agreements, especially the European Union, but an increasing number of papers focus on the impacts of services sector liberalization. This paper surveys the literature, focusing on contributions that investigate the determinants of international trade and investment in services, the potential gains from greater trade (and liberalization), and efforts to cooperate to achieve such liberalization through trade agreements. It concludes that there is increasing evidence that services liberalization is an important source of potential welfare gains, but relatively little research has been done that can inform the design of international cooperation-both trade agreements and development assistance-so as to more effectively promote development objectives.

Download or read book Structure and Performance of the Services Sector in Transition Economies written by Ana M. Fernandes and published by World Bank Publications. This book was released on 2007 with total page 53 pages. Available in PDF, EPUB and Kindle. Book excerpt: Abstract: This paper examines the structure and performance of the services sector in Eastern European and Central Asian countries during 1997-2004. Services represent an increasing share of total value added and employment with the major sub-sectors being wholesale trade, retail trade, inland transport, telecommunications, and real estate activities. A clear divide separates EU-5 countries from South Eastern European countries and Ukraine in terms of services labor productivity. Although a large gap in productivity also separates EU-8 countries from EU-15 countries, that gap was reduced from 1997 to 2004 as most services sub-sectors experienced fast productivity growth. High skill intensive sub-sectors and information and communications technology producers and users have exhibited higher productivity levels and growth rates relative to other sub-sectors since 2000. The author finds a positive effect of services liberalization on the productivity growth of services sub-sectors. The author also finds a positive and significant effect of services liberalization in both finance and infrastructure on the productivity of downstream manufacturing.

Download or read book China s Productivity Convergence and Growth Potential A Stocktaking and Sectoral Approach written by Min Zhu and published by International Monetary Fund. This book was released on 2019-11-27 with total page 46 pages. Available in PDF, EPUB and Kindle. Book excerpt: China’s growth potential has become a hotly debated topic as the economy has reached an income level susceptible to the “middle-income trap” and financial vulnerabilities are mounting after years of rapid credit expansion. However, the existing literature has largely focused on macro level aggregates, which are ill suited to understanding China’s significant structural transformation and its impact on economic growth. To fill the gap, this paper takes a deep dive into China’s convergence progress in 38 industrial sectors and 11 services sectors, examines past sectoral transitions, and predicts future shifts. We find that China’s productivity convergence remains at an early stage, with the industrial sector more advanced than services. Large variations exist among subsectors, with high-tech industrial sectors, in particular the ICT sector, lagging low-tech sectors. Going forward, ample room remains for further convergence, but the shrinking distance to the frontier, the structural shift from industry to services, and demographic changes will put sustained downward pressure on growth, which could slow to 5 percent by 2025 and 4 percent by 2030. Digitalization, SOE reform, and services sector opening up could be three major forces boosting future growth, while the risks of a financial crisis and a reversal in global integration in trade and technology could slow the pace of convergence.

Download or read book Global Trade in Services written by J. Bradford Jensen and published by Peterson Institute. This book was released on 2011 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: He finds that, in spite of US comparative advantage in service activities, service firms' export participation lags manufacturing firms. Jensen evaluates the impediments to services trade and finds evidence that there is considerable room for liberalization-especially among the large, fast-growing developing economies. The policy recommendations coming out of this path-breaking study are quite clear. The United States should not fear trade in services. It should be pushing aggressively for services trade liberalization. Because other advanced economies have similar comparative advantage in service, the United States should make common cause with the European Union and other advanced economies to encourage the large, fast-growing developing economies to liberalize their service sectors through multilateral negotiations in the General Agreement on Trade in Services and the Government Procurement Agreement.