DP1301 Trade Liberalization and Enterprise Restructuring in Bulgaria, 1992-4

Author(s): Simeon Djankov, Bernard Hoekman
Publication Date: November 1995
Keyword(s): Economic Adjustment, Restructuring, Trade Liberalization
JEL(s): F14, O12
Programme Areas: International Trade and Regional Economics
Link to this Page: www.cepr.org/active/publications/discussion_papers/dp.php?dpno=1301

This paper empirically tests the link between trade openness and enterprise restructuring in Bulgaria. It belongs to a recent line of work in the empirical trade literature that investigates the effects of trade policy on firm behaviour. The trade liberalization following the 1991 economic reforms is found to have a strong impact on firm-level restructuring and industry concentration. Between 1992 and 1994, the impact of export opportunities on restructuring was particularly important.