Scandinavian Working Papers in Economics

SSE/EFI Working Paper Series in Economics and Finance,
Stockholm School of Economics

No 183: Exports, Imports and Productivity: Results from Indonesian Establishment Data

Fredrik Sjöholm ()
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Fredrik Sjöholm: The European Institute of Japanese Studies at the Stockholm School of Economics, Postal: P.O. Box 6501, S-113 83 Stockholm, Sweden

Abstract: Using detailed micro data from the Indonesian manufacturing sector, we examine whether participation in international trade affects establishments' productivity. Establishments participating in exports or imports have relatively high levels of productivity. Furthermore, the results suggest that establishments engaged in exports have shown comparable high productivity growth. The larger the share of an establishment's output that is exported the higher its productivity growth. The results concerning the effect of imports on productivity growth are mixed.

Keywords: Indonesia; Growth; Industry; Trade

JEL-codes: F10; O12

21 pages, August 19, 1997

Price: ----

Note: Revised version forthcoming in World Development

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Fredrik Sjöholm, 'Exports, Imports and Productivity: Results from Indonesian Establishment Data', World Development

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