OECD Trade Policy Papers

1816-6873 (en ligne)
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This series is designed to make available to a wider readership selected trade policy studies prepared for use within the OECD.

NB. No. 1 to No. 139 were released under the previous series title OECD Trade Policy Working Papers.


Dynamic Gains from Trade

The Role of Intermediate Inputs and Equipment Imports You or your institution have access to this content

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Susan Stone1, Ben Shepherd2
Author Affiliations
  • 1: OECD, France

  • 2: Developing Trade Consultants Ltd., United States

01 avr 2011
Bibliographic information
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Dynamic gains from trade can be an important conduit for increased firm-level innovation and productivity, both key components of economic growth. This paper builds on previous research on the dynamic gains from trade by moving beyond a single country basis to examine impacts on firm-level productivity for a cross-section of countries. It also focuses on productivity gains through the import of intermediate inputs and capital goods and systematically explores the specific impacts of non-trade, or complementary, policies on firms‘ ability to realise dynamic gains. This paper shows that a range of complementary policies affects a firm‘s ability to generate productivity gains from intermediate and capital goods imports. Access to skilled labour is a particularly important policy variable with respect to the import of intermediate goods, followed by access to finance, while macroeconomic stability slightly outranks access to finance for capital goods importers. The importance of access to finance has particular policy significance given the wide-spread financial reforms being discussed or underway.
capital, dynamic gains, intermediate inputs, trade, complementary policies
Classification JEL:
  • F10: International Economics / Trade / General
  • F13: International Economics / Trade / Trade Policy ; International Trade Organizations
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