The Korean Economic Review
Import Variety and Productivity: Positive or Negative?
Kichun Kang (Yeungnam University)Year 2022Vol. 38No. 1
AbstractAfter heterogeneous firm trade models launched in the mid-2000s, the positive effect of import variety on productivity is well-established. However, using industry sectoral data for South Korean 16 regions from 2000 to 2017, this study explores heterogeneous productivity gains from import varieties across industry sectors and identifies negative productivity gains, especially in final consumption goods.