Discussion paper
DP20284 Inclusive Exports and Economic Growth
Building on Hausmann, Hwang and Rodrik (2007), we provide a methodology to estimate the degree of inclusiveness of an export product along three economic dimensions: income equality, gender equality and formality in the labour market. Using this measure of product inclusiveness, we construct a measure of a country’s export bundle inclusiveness by taking an export-weighted sum of the product inclusiveness measure. Finally, we find that a 1 percent increase in export inclusiveness, conditional on total export value and a measure of the country’s overall inclusiveness, leads to a 0.17 percent increase in GDP per capita growth.
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