Template-Type: ReDIF-Paper 1.0
Author-Name: Peluffo Adriana
Author-Name-First: Adriana
Author-Name-Last: Peluffo
Author-Name: Scasso Juan
Author-Name-First: Juan
Author-Name-Last: Scasso
Title: The Role of Trade Partners on Product Quality:  The case of Uruguay
Abstract: We explore the link between export and import products quality to/from high-income countries using a rich database for Uruguay over the period 1997-2008. We use two econometric techniques to tackle the likely endogeneity problem: fixed effects by firm panel models with lagged regressors and dynamic panel models. The most robust results are a negative effect of distance on export quality, and that a higher share of exports to high-income countries and average GDP to export countries have a negative effect on import quality. The negative impact of exports to high-income countries on import quality results can be explained by the type of goods exported to high-income countries, which are mainly commodities in nature with low scope for vertical differentiation and that use mainly local inputs.
Length:  29 pages
Creation-Date:  2023-11
File-URL: https://aaep.org.ar/works/works2023/4681.pdf
File-Format: Application/pdf
Number: 4681
Classification-JEL: 
Handle: RePEc:aep:anales:4681