This paper examines the impact of the devaluation of the CFA franc in 1994 and of trade and fiscal reforms on enterprise development in Chad and Gabon. These reforms provide a natural experiment to assess the impact of trade liberalisation in countries with a small and backward manufacturing sector. The empirical analysis is based on a new panel data base covering almost the total population of manufacturing firms in Chad and Gabon, and containing data spanning from the year before to two years after t he reforms. The paper finds that although firms’ response to changing incentives was non-negligible, with a shift of output from non tradables to tradables and an increase in productivity, the reform process was unable to generate a virtuous and self-sustained circle, where export expansion brings a generalized productivity increase which in turn feeds on further export growth.
|Titolo:||Enterprise response to the devaluation and trade and fiscal reforms in Chad and Gabon|
BARBA NAVARETTI, GIORGIO (Primo)
|Data di pubblicazione:||1998|
|Parole Chiave:||Trade liberalisation ; Enterprise development ; Output ; Productivity ; Export performance|
|Citazione:||Enterprise response to the devaluation and trade and fiscal reforms in Chad and Gabon / G. Barba Navaretti, R. Faini, B. Gauthier. - Washington : The World bank, 1998.|
|Appare nelle tipologie:||08 - Relazione interna o rapporto di ricerca|