Input-Output Linkages and the Direction of Product Adoption
2018/06/15
研討會日期 : 2018-06-15
時間 : 10:00
主講人 : Professor John Morrow
主持人 : Professor Shin-Kun Peng
地點 : Conference Room B110
演講者簡介 : Professor Morrow received his Ph.D. in Development Economics at University of Wisconsin-Madison in 2010. He is currently a Lecturer at Birkbeck University of London. His research interests are international economics, political economy and development.
演講摘要 : What determines the production structure of an economy, and how can industrial policy influence it? Theories of the product space suggest that policy can raise aggregate productivity by building the capabilities needed for a modern industrial structure. Product-level export data show a relationship between incomes and the production structure of countries. However, less is known about the channels through which policies determine production capabilities and the resulting production structure. Building on the theory of the firm, this paper takes a microeconomic view of the role of policy in determining production capabilities in multiproduct firms. We provide a model of policy-driven input capabilities which determine the industry mix and the sales of establishments. Taking the model to data from India in the 2000s, we show that idiosyncratic input capabilities enabled establishments to benefit from the removal of size-based entry barriers in their input markets. Entry liberalization of an intermediate input is on average equivalent to a 45 per cent tariff reduction on the dynamic margin of adding or dropping industries, a 43 per cent tariff reduction on the intensive margin of sales and a 14-80 per cent tariff reduction on the extensive margin of industry range.
