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THIRD-COUNTRY EFFECTS OF EXPORT INCENTIVES

Mon, 06/04/2018 - 09:36..
Though empirical literature on the effects of export incentives for domestic export is very rich, export incentives’ effects for third countries' export have not yet been examined empirically. This paper sheds some light on this issue. According to existing theory, effects of domestic export incentives for third countries' exporters can be both negative (due to increased competition) and positive (due to input-output linkages in global value chains (GVCs)).