This paper studies the impact of input-trade liberalization on firms’ decision to upgrade foreign technology embodied in imported capital goods. The authors empirical analysis is motivated by a simple theoretical framework of endogenous technology adoption, heterogeneous firms and imported inputs. The model predicts a positive effect of input tariff reductions on firms’ technology choice to source capital goods from abroad. This effect is heterogeneous...
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INFORMATION
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2016/12/10
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Article de revue
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140509
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1
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1
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2019/08/12
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Disclosed
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Does Input-Trade Liberalization Affect Firms’ Foreign Technology Choice?
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capital good
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