What are the long-term effects of export opportunities to a large destination market for a low-income country?
Read "FDI Inflows and Domestic Firms: Adjustments to New Export Opportunities" by Brian McCaig, Nina Pavcnik and Woan Foong Wong here.
In this episode of VoxDevTalks, Nina Pavcnik joined us at the STEG conference to discuss new research with Brian McCaig and Woan Foong Wong on the long-term effects of export opportunities to a large destination market for Vietnam. This work looks at the impacts of the US-Vietnam Bilateral Trade Agreement, which reduced US import tariffs on exports from Vietnam, and shows that this led to the entry of foreign and private firms, and to employment expansion in formal manufacturing, with foreign entrants contributing most to employment growth.
Find out more about the Structural Transformation and Economic Growth (STEG) research initiative here. To know more about international trade and development, read our VoxDevLit on International Trade.