Does input-trade liberalization affect firms' foreign technology choice ? (English)

This paper studies the impact of input-trade liberalization on firms' decision to upgrade foreign technology embodied in imported capital goods. The empirical analysis is motivated by a simple theoretical framework of endogenous technology adoption, heterogeneous firms and imported inputs. The model predicts a positive effect of input tariff reductions on firms' technology choice to source capital goods from abroad. This effect is heterogeneous across...
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Citation

Bas,Maria; Berthou,Antoine.

Does input-trade liberalization affect firms' foreign technology choice ? (English). Policy Research working paper|no. WPS 7883 Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/889161478534043136

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