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Learning by exporting or self-selection into exporting?
- Source :
-
Middle East Development Journal . Dec2020, Vol. 12 Issue 2, p304-325. 22p. - Publication Year :
- 2020
-
Abstract
- This paper explores the export-productivity relationship using firm-level data from Egypt over the 2003–2008 period. Previous studies using data from developed countries suggest that self-selection is the main driver of the exporter premium. Using a propensity-score matching difference-in-difference approach, we find that both labor productivity and total factor productivity are significantly higher for exporters than for non-exporters. On average, labor productivity and total factor productivity are, respectively, 43% and 61% higher for exporting firms than for domestically-oriented firms. Accounting for the level of development of destination countries, we find that this export premium is due to a learning-by-exporting process rather than just a self-selection of more productive firms into exporting. In contrast to exporters to OECD countries, exporters to Non-OECD countries self-select into export markets, signaling the importance of the technical assistance from OECD buyers. [ABSTRACT FROM AUTHOR]
Details
- Language :
- English
- ISSN :
- 17938120
- Volume :
- 12
- Issue :
- 2
- Database :
- Academic Search Index
- Journal :
- Middle East Development Journal
- Publication Type :
- Academic Journal
- Accession number :
- 147289612
- Full Text :
- https://doi.org/10.1080/17938120.2020.1756105