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Learning By Exporting: Evidence Based on Data of Knowledge Flows from Innovation Surveys in Estonia

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  • Priit Vahter

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    Abstract

    This paper studies learning-by-exporting, based on survey data of knowledge flow indicators. Most of the earlier related papers investigate the effects of exporting on productivity of firms, and often find little evidence of learning effects. This study looks more in detail into the mechanism of these effects. It investigates whether exporting is associated with increase in intensity of knowledge flows to the firm from the firm’s clients, relative to other knowledge sources. I use measures of learning about the new technologies from two pooled innovation surveys and firm level exporting data of manufacturing firms in Estonia. Unlike the majority of earlier studies that use productivity data, I find evidence consistent with learning-by-exporting. Exporting in the past is associated with more learning from the firm’s clients in next periods.

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    File URL: http://www.wdi.umich.edu/files/Publications/WorkingPapers/wp1011.pdf
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    Bibliographic Info

    Paper provided by William Davidson Institute at the University of Michigan in its series William Davidson Institute Working Papers Series with number wp1011.

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    Length: pages
    Date of creation: 01 Feb 2011
    Date of revision:
    Handle: RePEc:wdi:papers:2011-1011

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    Related research

    Keywords: exporting; learning; knowledge transfer; Central and Eastern Europe;

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    References

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    1. Priit Vahter, 2010. "Does Fdi Spur Innovation, Productivity And Knowledge Sourcing By Incumbent Firms? Evidence From Manufacturing Industry In Estonia," University of Tartu - Faculty of Economics and Business Administration Working Paper Series 69, Faculty of Economics and Business Administration, University of Tartu (Estonia).
    2. International Study Group on Exports and Productivity (ISGEP), 2008. "Understanding Cross-Country Differences in Exporter Premia: Comparable Evidence for 14 Countries," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 144(4), pages 596-635, December.
    3. Michael P. Murray, 2006. "Avoiding Invalid Instruments and Coping with Weak Instruments," Journal of Economic Perspectives, American Economic Association, vol. 20(4), pages 111-132, Fall.
    4. International Study Group on Exports and Productivity, 2007. "Exports and Productivity – Comparable Evidence for 14 Countries," Working Papers 0714, University of Urbino Carlo Bo, Department of Economics, Society & Politics - Scientific Committee - L. Stefanini & G. Travaglini, revised 2007.
    5. Sascha Becker & Peter Egger, 2013. "Endogenous product versus process innovation and a firm’s propensity to export," Empirical Economics, Springer, vol. 44(1), pages 329-354, February.
    6. Marc J. Melitz & Gianmarco I.P. Ottaviano, 2005. "Market Size, Trade, and Productivity," Development Working Papers 201, Centro Studi Luca d\'Agliano, University of Milano.
    7. Glass, Amy Jocelyn & Saggi, Kamal, 1998. "International technology transfer and the technology gap," Journal of Development Economics, Elsevier, vol. 55(2), pages 369-398, April.
    8. Jaan Masso & Priit Vahter, 2008. "Technological innovation and productivity in late-transition Estonia: econometric evidence from innovation surveys," European Journal of Development Research, Taylor and Francis Journals, vol. 20(2), pages 240-261.
    9. Gustavo Crespi & Chiara Criscuolo & Jonathan Haskel, 2006. "Productivity, Exporting and the Learning-by-Exporting Hypothesis: Direct Evidence from UK Firms," Working Papers 559, Queen Mary, University of London, School of Economics and Finance.
    10. Blalock, Garrick & Gertler, Paul J., 2004. "Learning from exporting revisited in a less developed setting," Journal of Development Economics, Elsevier, vol. 75(2), pages 397-416, December.
    11. James H. Stock & Motohiro Yogo, 2002. "Testing for Weak Instruments in Linear IV Regression," NBER Technical Working Papers 0284, National Bureau of Economic Research, Inc.
    12. Robert M. Salomon & J. Myles Shaver, 2005. "Learning by Exporting: New Insights from Examining Firm Innovation," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 14(2), pages 431-460, 06.
    13. Elhanan Helpman & Marc J. Melitz & Stephen R. Yeaple, 2004. "Export Versus FDI with Heterogeneous Firms," American Economic Review, American Economic Association, vol. 94(1), pages 300-316, March.
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