Trade and Productivity: The Family Connection Redux

Arbeitspapier

We investigate the effects of human capital accumulation on trade and productivity by integrating a micro-founded education and fertility decision of households into a model of international trade with firm heterogeneity. Our theoretical framework leads to two testable implications: i) the export share of a country increases with the education level of its population, ii) the average profitability of firms located in a country also increases with the education level of its population. We find that these implications are supported by empirical evidence for a panel of OECD countries from 1960 to 2010.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: FIW Working Paper ; No. 148

Classification and Topics

• Classification: Wirtschaft ; Models of Trade with Imperfect Competition and Scale Economies; Fragmentation ; Empirical Studies of Trade ; Education and Research Institutions: General ; Demographic Trends, Macroeconomic Effects, and Forecasts
• Subject: firm heterogeneity ; international competiveness ; education ; fertility decline

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Prettner, Klaus ; Strulik, Holger
• Event: Veröffentlichung
• (who): FIW - Research Centre International Economics
• (where): Vienna
• (when): 2015

Further information

• Handle: http://hdl.handle.net/10419/121149
• Last update: 10.03.2025, 11:44 AM CET