Calendrier du 17 janvier 2022
GSIELM (Graduate Students International Economics and Labor Market) Lunch Seminar
Du 17/01/2022 de 13:00 à 14:00
https://zoom.univ-paris1.fr/j/92845411750?pwd=Nko5aFBoLzc1ZnFEOWpaZEhmUFhsZz09
RAGAB Dina (University of Paris 1, Cairo University)
Does Past Informality Status Affect the Adoption of Foreign Technology in the Emerging Economies?
écrit avec Boris Najman (UPEC)
Informality has become a prevailing phenomenon in emerging economies. Using the World Bank Enterprise Survey for a large cross-section of emerging economies between 2006 and 2020, we examine the effect of informality costs on the adoption of foreign technology. The hypothesis tested is that the formal firms which started their operations unofficially at some point in the past are less likely to adopt foreign technology even after formalization. Accounting for endogeneity, results show that past informality status has a persistent and negative effect on the adoption of foreign technology. We also discuss the moderating role of other variables on this relationship. Results show that the exporting activities, the high quality of institutions, and the investment in human capital weaken the negative impact of the informal creation of a formal firm on the adoption of foreign technology. These findings are robust to a range of firm and country characteristics as well as checks for endogeneity concerns.