How Does the Border Affect Productivity? Evidence from American and Canadian Manufacturing Industries
33 Pages Posted: 20 Jan 2004
Date Written: December 2003
Abstract
This paper studies how much of productivity fluctuations are industry specific versus how much are country specific. Using data on manufacturing industries in Canada and the United States, the paper shows that the correlation between cross-border pairings of the same industry are more often highly correlated than previously thought. In addition, the paper confirms earlier findings that the similarity of input use can help describe the co-movement of productivity fluctuations across industries.
Keywords: Productivity, co-movement, border effects
JEL Classification: D24, F4
Suggested Citation: Suggested Citation
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