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Productivity and Wage Premiums: Evidence from Vietnamese Ordinary and Processing Exporters

Author

Listed:
  • Mai T.P. Vu

    (Foreign Trade University)

  • Flora Bellone

    (Université Côte d'Azur
    GREDEG CNRS)

  • Marion Dovis

    (Aix-Marseille University
    GREQAM)

Abstract
We propose some new stylized facts on Vietnamese exporters that emphasize firm heterogeneity in trade regimes and firm ownership. We show first that the distribution of firms export intensities is U-shaped with more than half of Vietnamese exporters exporting more than 50% of their output. This contrasts with the export patterns in industrialized countries but is similar to the export intensity distribution for other emerging economies with strong participation in global value chains. Second, we show that export premia, evaluated in terms of both productivity and wage indexes, are positive only for Vietnamese exporters involved primarily in ordinary trade, and that processing exporters exhibit lower productivity indexes and pay lower wages than their non-exporting counterparts. This pattern is more pronounced among the group of foreign-owned firms in Vietnam compared to the group of domestic firms and is in line with previous ndings for China.

Suggested Citation

  • Mai T.P. Vu & Flora Bellone & Marion Dovis, 2017. "Productivity and Wage Premiums: Evidence from Vietnamese Ordinary and Processing Exporters," GREDEG Working Papers 2017-36, Groupe de REcherche en Droit, Economie, Gestion (GREDEG CNRS), Université Côte d'Azur, France.
    • Handle: RePEc:gre:wpaper:2017-36
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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Processing trade; wage; firm productivity; firm-level data; Vietnam;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General

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