Bilateral digital connectivity and firm participation in export markets - Archive ouverte HAL Access content directly
Preprints, Working Papers, ... Year : 2020

Bilateral digital connectivity and firm participation in export markets

Abstract

This paper studies how bilateral digital connectivity resulting from telecommunications submarine cable (SMC) deployment affects firm participation in export markets. Using an unbalanced panel of bilateral trade data from 48 countries during the period 1997-2014, we find that a SMC connection between two countries is associated with an increase in the number of bilateral exporters in developed countries, but also with a reduction in the number of bilateral exporters in developing countries. This negative association between bilateral connectivity and firm participation in export markets appears to be stronger in the poorest developing areas: Middle East and North Africa, South Asia and Sub-Saharan Africa. The growth in world connectivity spurred by SMCs deployment has therefore had a heterogeneous effect on firm decision to export, pushing more firms from high-income countries to enter export markets, and some incumbent exporters from lower-income countries to exit them.
Fichier principal
Vignette du fichier
WP270-Cariolle-Melo-Imbruno-WEB_compressed.pdf (590.77 Ko) Télécharger le fichier
Origin : Publication funded by an institution

Dates and versions

hal-03182438 , version 1 (26-03-2021)

Licence

Attribution - NonCommercial - NoDerivatives

Identifiers

  • HAL Id : hal-03182438 , version 1

Cite

Joël Cariolle, Michele Imbruno, Jaime de Melo. Bilateral digital connectivity and firm participation in export markets. 2020. ⟨hal-03182438⟩

Collections

FERDI ANR
125 View
163 Download

Share

Gmail Facebook X LinkedIn More