Sourcing intermediate goods efficiently is essential for a country's production capacity. Countries located in a neighborhood providing a wide range of intermediate goods cheaply available can take advantage of scale economies to reduce their production costs and improve their global...

Intra-subsaharan African trade appears to be very limited, an outcome that is often justified on the grounds of the size of the exporting and the importing economies. If that were the explanation, there would be no untapped trade potential. We argue instead that the main determinant of this...