The seminar will be held Online via MS Teams on April 16th from 3pm - 4:15pm (contact: bs-research@abdn.ac.uk for link).
Join Dr Ammu George, Lecturer at Queen's Business School, Queen's University Belfast. Dr George’s research fields are International Economics, Banking, and Foreign Direct Investments.
Abstract:
“Export sophistication has often been cited as one of the key drivers of economic growth. Using highly disaggregated data on global bilateral trade flows and foreign direct investment (FDI) from 2003 to 2019, we examine the impact of FDI inflows on export sophistication. We use the Khandelwal et al 2013 methodology to estimate export quality at the HS-6 digit level worldwide. Additionally, we construct a novel “Bartik instrument'” for FDI inflows to address the reverse causality concerns. Our empirical results show that an increase in FDI inflows leads to export quality upgrading. The effect is more pronounced for exporters from advanced economies compared to those from emerging economies; for products in industries with higher technological progress; and FDI inflows into more downstream industries. Although we find a similar positive effect of FDI on other metrics like export quantity and trade value, FDI inflows tend to affect export unit values negatively.”
- Speaker
- Dr Ammu George
- Hosted by
- University of Aberdeen Business School