Opening to trade can boost productivity growth and resource allocation through numerous channels. The literature identifies Three main channels through which trade can boost resource allocation, and then productivity. First, the import competition channel: lower trade barriers can strengthen competition in the liberalized sector(s), putting pressure on domestic producers to exploit economies of scale; reduce price margins, (Helpman and Krugman, 1985)...
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2018/02/01
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2018/03/06
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Brazil's globalization and integration of output markets agenda
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food manufacturing
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