The upheaval in global crude oil markets and the boom in shale oil production in North America brought scrutiny on the US export ban for crude oil from 1975. The ban was eventually lifted in early ...2016. This paper examines the shifts of global trade flows and strategic refinery investments in a spatial, game-theoretic partial equilibrium model. We consider detailed oil supply chain infrastructure with multiple crude oil types, distinct oil products, as well as specific refinery configurations and modes of transport. Prices, quantities produced and consumed, as well as infrastructure and refining capacity investments are endogenous to the model. We compare two scenarios: an insulated US crude oil market, and a counter-factual with lifted export restrictions.
We find a significant expansion of US sweet crude exports with the lift of the export ban. In the US refinery sector, more (imported) heavy sour crude is transformed. Countries importing US sweet crude gain from higher product output, while avoiding costly refinery investments. Producers of heavy sour crude (e.g. the Middle East) are incentivised to climb up the value chain to defend their market share and maintain their dominant position.
•We study the impacts of lifting the US crude ban on global oil flows and investments.•We find massive expansion of US sweet crude oil exports.•We analyze the resulting welfare effects for US producers, refiners and consumers.•We indicate the changes on global trade patterns.•We conclude that lifting the ban is the right policy for the US and the global economy.
How do the three dimensions of geographic export diversification—namely, (1) export intensity, (2) export scope, and (3) export destinations—interact in determining firm performance? How does the ...export intensity–performance relationship change considering export scope and destinations? Drawing on institution-based and resource-based lenses, we argue that differences between home and destination country institutional environments are amplified by the scope or variety of export destinations. As firm resources nurtured in the home country may not fit an increasing number of different foreign institutional environments, the export intensity–firm performance relationship turns negative. Conversely, our panel data analysis suggests a positive relationship between export intensity and performance when exporters from an emerging economy increase their exports to a limited number of other emerging economies. Thus, our findings extend conventional wisdom on the export intensity–firm performance relationship and suggest that the international marketing strategy literature needs to simultaneously incorporate three dimensions (including export destinations) into the geographic export diversification construct.
objetiva-se analisar o desempenho exportador do complexo soja nacional frente a sua concorrência no mercado externo, compreendendo o período de 2000 a 2019. Os dados foram coletados no portal Comex ...Stat, da Secretaria de Comércio Exterior (SECEX) do Ministério do Desenvolvimento Indústria e Comércio (MDIC), dados Free on Board (FOB) em dólares; no Instituto de Pesquisa Econômica Aplicada (IPEA) e no United Nations Commodity Trade Statistics Database (UN Comtrade). Para tanto, recorreu-se a construção de indicadores do comércio internacional Os resultados apontam que o Brasil apresenta Vantagem Comparativa Revelada Simétrica e de Vollrath e Competitividade Revelada referente a todos os itens inerentes ao complexo soja em todo período estudado. No que diz respeito ao Esforço Exportador, foi constatado que as exportações do complexo soja são concentradas na comercialização do grão de soja. Já no que concerne a Orientação Regional, foi constatado que as exportações de soja em grão estão orientadas para a China e Espanha, o óleo de soja para a Índia e o farelo de soja para a França e Holanda.
•This study investigates the relationship between the environmental regulations and the export upgrading in China.•Cleaner production standards increase the domestic value-added rate (DVAR) of ...Chinese exports.•The nexus of cleaner production regulations’ effect and the DVAR varies with firms’ markup and TFP.•About 43.94% of the promotion of DVAR is contributed by the resource reallocation effect brought by the regulations.
The effectiveness of environmental regulations and foreign trade competitiveness are important concerns for developing countries that face serious environmental degradation and boost economies by participating in the global market. Taking the cleaner production standards in China as a case study, this paper investigates the relationship between the environmental regulations and export upgrading from the perspective of the domestic value-added rate (DVAR) of exports. We find that cleaner production standards increase Chinese enterprises’ DVAR, and the impact varies with firms’, industrial and regional heterogeneities. Mechanism analysis shows that the markup percentage of cost and the total factor productivity enhance the positive effect of cleaner production regulations on enterprises’ DVAR. Moreover, we also find that 43.94% of the promotion of Chinese enterprises’ DVAR is contributed by the resource reallocation effect brought by the cleaner production standards. This study provides empirical evidence that environmental regulations coordinate the development of the ecological environment and the upgrading of Chinese exports, which is also of enlightening significance to other developing countries in the transition to a high-quality development path.
Previous studies show that the Internet positively influences firms’ export activities from developed markets. However, the literature is vague as to whether the Internet has an impact on the export ...performance of firms from emerging markets. This study tests a conceptual model that includes the effect of Internet marketing capabilities on export market growth in an emerging market. Drawing on a cross-national sample of 204 export firms from a Latin American country (Chile), findings indicate that Internet marketing capabilities positively influence the availability of export information, which in turn impacts the development of business network relationships and export market growth.
This study empirically focuses on examining the hypotheses of export premium (exporters are more productive than non‐exporters), selection‐into‐exporting (more productive firms are ones that tend to ...become exporters) and learning‐by‐exporting (new export market entrants have higher productivity growth than non‐exporters in the post‐entry period). The propensity score matching method is used to adjust for observable differences of firm characteristics between exporters and non‐exporters, allowing an adequate ‘like‐for‐like’ comparison. We also use the difference‐in‐difference matching estimator to capture the magnitude of different productivity growth between matched new export market entrants and non‐exporters in the post‐entry period up to two years. Drawing on 2,340 Chinese firms in the period 2000–02, we find evidence for export premium and self‐selection, and once the firm has entered the export market there is additional productivity growth from the learning effect, in particular in the second year after entry.
•The relative export competitiveness (REC) for India and her competitors is developed.•The REC covers exports of sugar, rice, wheat, and cotton, each relative to other exports.•India’s rice, cotton, ...and sugar are competitively advantaged but not wheat.•The REC is time varying and is mainly lower for India than her competitors.•An attempt is made to explain the determinants of the REC.
In this paper, we derive time-varying relative export competitiveness (REC) of India’s top agricultural exports (rice, wheat, cotton and sugar) against India’s share of world agricultural exports (REC_WA) and world exports (REC_WE) from 1961 to 2012. We reveal that India’s exports of all four commodities became relatively competitive over time but these were not as competitive as the top, or selected emerging, exporters of the four commodities. We also examine the determinants of REC in these four commodities focusing on factors including crop-specific and aggregate factor endowments, domestic price, export prices, and GDP per capital, preferential trade agreements, export restrictions and bans, and India’s Green Revolution. The regression analysis was mainly confined to the 1981–2012, due to data constraints. We find that the time series regression results are similar in sign and significance for REC_WE and REC_WA. Our key findings suggest the REC in wheat, rice, and cotton deteriorated as a result of export restrictions. Capital had negative effects on cotton REC. Labor and farm size did not influence the REC in the commodities. The Green Revolution improved the REC in rice and cotton (in Phase 3). The WTO had a positive effect on the REC in rice. The South Asian Free Trade Area (SAFTA) Agreement adversely affected the REC in wheat and rice but strengthened the REC in cotton and sugar. Higher domestic price reduced the REC in cotton. Higher per capita income strengthens the REC in wheat with a lag. We explain these results and suggest policy implications.
This paper “opens a black box” in examining how and under what conditions do firms achieve productivity gains by exporting, conventionally known as the learning-by-exporting (LBE) effect. We extend ...the current theoretical paradigm by proposing that exporters utilize strategic decisions pertinent to innovativeness, production capability, and human capital so as to leverage knowledge and resources obtained from exporting in order to achieve productivity gains. We test and validate our hypotheses with panelized data of roughly 250,000 Chinese firms over a 7-year period (2001-2007). We also show that the salience of these mediation mechanisms is contingent upon ownership structure and industry characteristics: Non-state-owned enterprises and firms in industries with medium export intensity or medium and high new product development intensity effectuate more learning through these conduits than their counterparts. The multimediation mechanism LBE model offers useful implications for academia, practitioners, and policy makers.
For many questions, it is crucial to know the extent of domestic value added (DVA) in a country's exports, but the computation is more complicated when processing trade is pervasive. We propose a ...method for computing domestic and foreign contents that allows for processing trade. By applying our framework to Chinese data, we estimate that the share of domestic content in its manufactured exports was about 50% before China's WTO membership, and has risen to nearly 60% since then. There are also interesting variations across sectors. Those sectors that are likely labeled as relatively sophisticated such as electronic devices have particularly low domestic content (about 30% or less).
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