Trade Competitiveness Diagnostic Toolkit

As globalisation progresses and investment becomes more mobile, it is ever more important for policy makers to understand which firms constitute the domestic economy, and how they are affected by policy. This toolkit offers a framework, guidelines, and practical tools for conducting an analysis and diagnostic of trade competitiveness using firm-level data. The toolkit will show how firm-level analysis can be used to complement and integrate analyses based on more aggregate data, and deliver richer and more focused assessments of countries' competitiveness. Going beyond descriptive statistics, the proposed framework suggests a coherent and comprehensive method of using firm-level data for assessing the competitiveness of the export sector and its sustainability. This volume presents a selection of tests to assess trade outcomes and an econometric methodology to link these to their main determinants.