Firms' pattern of trade and access to finance
Abstract
This paper summarizes recent advances in the empirical research on firms' learning from trade participation and the role of finance in both starting to trade, surviving in export markets as well as expanding along the intensive and extensive trade margins. It highlights the increased importance of imports, which impacts at firms' performance primarily through relaxed technological constraints by increasing firms's scope of inputs and by lowering their input price index. In addition, imports are shown to boost firms' innovation and introduction of new products, which facilitates firms' decisions to start exporting. Another important aspect that has been highlighted is the essential role of finance in furthering firms'survival and expansion in export markets.Download Info
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Paper provided by Katholieke Universiteit Leuven in its series Open Access publications from Katholieke Universiteit Leuven with number urn:hdl:123456789/301468.Length:
Date of creation: 2011
Date of revision:
Handle: RePEc:ner:leuven:urn:hdl:123456789/301468
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Web page: http://www.kuleuven.be
Related research
Keywords: exports; learning-by-exports; export expansion; financial constraints; credit crunch;Other versions of this item:
- Jože P. Damijan & Črt Kostevc, 2011. "Firms' Pattern of Trade and Access to Finance," LICOS Discussion Papers 27811, LICOS - Centre for Institutions and Economic Performance, KU Leuven.
- D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
- F12 - International Economics - - Trade - - - Models of Trade with Imperfect Competition and Scale Economies
- F14 - International Economics - - Trade - - - Empirical Studies of Trade
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- Nakhoda, Aadil, 2012. "The influence of financial leverage of firms on their international trading activities," MPRA Paper 35765, University Library of Munich, Germany.
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