Are Newly Exporting Firms more Innovative? Findings from Matched Spanish Innovators
AbstractThe prevalence of Internet-based sales by exporters vs. non-exporters is highlighted in a recent World Bank Report (Ferro, 2011) suggesting the use of sophisticated processes when selling overseas. We investigate the count of new process/ product innovations for a group of newly exporting Spanish firms vs. a non-exporter control group. We use propensity score kernel matching and difference-in-differences to help deal with endogenous exporting, sunk exporting costs and common macroeconomic shocks. Our results confirm that selection into exporting is largely driven by productivity and industry technological differences, consistent with exporting sunk costs. We find some evidence of ‘technology upgrading’ through higher contemporaneous process innovation rates
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Bibliographic InfoPaper provided by Kiel Institute for the World Economy in its series Kiel Working Papers with number 1735.
Length: 9 pages
Date of creation: Sep 2011
Date of revision:
exporting; innovation; Propensity Score Kernel Matching; Learning-by-exporting;
Find related papers by JEL classification:
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
- F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
- O3 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-10-22 (All new papers)
- NEP-CIS-2011-10-22 (Confederation of Independent States)
- NEP-CSE-2011-10-22 (Economics of Strategic Management)
- NEP-ENT-2011-10-22 (Entrepreneurship)
- NEP-INO-2011-10-22 (Innovation)
- NEP-INT-2011-10-22 (International Trade)
- NEP-TID-2011-10-22 (Technology & Industrial Dynamics)
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- Surafel Girma & Yundan Gong & Holger Görg & Sandra Lancheros, 2012. "Foreign ownership structure, technology upgrading and exports: Evidence from Chinese firms," Kiel Working Papers 1793, Kiel Institute for the World Economy.
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