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Project Citation: 

Eslava, Marcela, Fieler, Ana Cecília, and Xu, Daniel Yi. Replication data for: (Indirect) Input Linkages. Nashville, TN: American Economic Association [publisher], 2015. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2019-10-12. https://doi.org/10.3886/E113427V1

Project Description

Summary:  View help for Summary Relative to backward firms, technologically-advanced firms source inputs from other advanced firms. These sourcing patterns lead to a magnification effect of technology adoption. A firm that adopts higher-technology increases the relative supply and demand for higher-technology inputs. As a result, it positively influences the technology of other firms in its production chain. Using data from a Colombian manufacturing survey, we provide evidence that advanced firms disproportionately value advanced inputs. More novel, we provide suggestive evidence that technological advancements in some firms increase the technology of other firms indirectly linked to them through a common input market.

Scope of Project

JEL Classification:  View help for JEL Classification
      L14 Transactional Relationships; Contracts and Reputation; Networks
      L60 Industry Studies: Manufacturing: General
      O14 Industrialization; Manufacturing and Service Industries; Choice of Technology
      O32 Management of Technological Innovation and R&D
      O33 Technological Change: Choices and Consequences; Diffusion Processes


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