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Article
Use of Imported Inputs and the Cost of Importing: Evidence form Developing Countries
Applied Economics Letters (forthcoming) (2014)
  • Mohammad Amin
  • Asif Islam
Abstract

For a representative sample of manufacturing firms in 26 countries, the paper shows that changes in the cost of importing over time is significantly and negatively correlated with changes in the percentage of firm’s material inputs that are of foreign origin. Furthermore, we show that there may be a non-linear relationship between import costs and imports. These findings are important as recent studies point towards a significant positive effect of imported inputs on productivity and growth. We hope that the present paper inspires more work on the determinants of imported inputs usage especially in developing countries.

Keywords
  • Imports,
  • Trade Barriers,
  • Cost of Importing,
  • Trade Policy
Publication Date
August, 2014
Citation Information
Mohammad Amin and Asif Islam. "Use of Imported Inputs and the Cost of Importing: Evidence form Developing Countries" Applied Economics Letters (forthcoming) (2014)
Available at: http://works.bepress.com/mohammad_amin/56/