The quality of greek exports across time and destinations

Abstract

Product quality is identified as an important determinant of bilateral trade flows in international trade literature. In this paper, the quality of Greek exports between 1998 and 2012 is identified empirically following Khandelwal’s (2010) approach. Using disaggregated data from Greek manufacturing I find that there is substantial heterogeneity in SITC1 industries and that a quality drop is observed in exports to middle income countries.