The Technological Diffusion as a Dimension of the Link Between Exports, Imports, and Growth in Tunisia

Abstract

This paper is an exploration of the technological dimension that shapes the link between intermediate and capital goods imports (IKGM), manufactured exports (MX), and growth in the case of Tunisia. Within a time series analysis (1970-2016), the author focuses on the extent to which these two components of trade are differentiated and therefore incorporating increasing technological content. By using three-digit SITC-level data of IKGM and of MX, it is shown that weighing simple measures of exports and of imports with a measure of their differentiation reveals that exports are sufficiently differentiated to ensure technological spillovers, on one hand, and the payment of IKGM, on the other hand. The extensive and intensive margins of trade are also explored from the sides of exports and imports. They are put in evidence given the positive impact on growth of IKGM and MX measured in accordance to their differentiated configuration.