IMF Working Papers

Export Orientation and Productivity in Sub-Saharan Africa

Author/Editor:

Catherine A Pattillo ; Taye Mengistae

Publication Date:

May 1, 2002

Electronic Access:

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Summary:

Analysis of firm-level panel data from three sub-Saharan African economies shows that exporting manufacturers have a total factor productivity premium of 11-28 percent. The data do not allow testing of whether these premiums are caused by selection of more efficient producers into exporting or by learning-by-exporting. By thinking about the mechanisms behind selectivity and learning, however, our finding of higher premiums for direct exporters and exporters to outside Africa could be interpreted as being consistent with learning-by-exporting effects. However, if learning-by-exporting is indeed present in the data, we cannot disentangle its effect on productivity from those of more traditionally recognized channels of international technology diffusion.

Series:

Working Paper No. 2002/089

Subject:

Exports Foreign aid Imports International trade Labor Production Productivity Total factor productivity