Export Diversification and Structural Change: Some Comparisons for Latin America

Abstract

This paper is an attempt to establish some stylized facts about the process of export diversification and structural change in exports for six key Latin American economies: Argentina, Brazil, Chile, Colombia, Mexico and Venezuela. Our results show that there has been a long-run trend toward export diversification in the region which has persisted through both inward- and outward-looking policy experiments, and over a variety of macroeconomic conditions. Structural change in exports accelerated during the debt crisis episode of the early 1980s, and more rapid structural change may be associated with policy reform. In addition, there are important differences among regions in the pattern of export diversification.

Note: This paper represents solely the views of the authors and does not represent the views of the U.S. International Trade Commission or any of its Commissioners.

JEL Classification: F2, F4, F23