In this paper we analyse the relationship between export and innovation activities of German service sector companies using data from the 1997 wave of the Mannheim Innovation Panel in the Service Sector. There is a lot of support for the Schumpeterian hypothesis of export activities being mainly driven by innovation activities. Factor endowment theories are only partially supported. While human capital significantly improves export performance, labour costs hamper it only in selected branches. Moreover, allowing for simultaneity we find that export activities do not enforce innovation activities.
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Paper provided by ZEW - Zentrum für Europäische Wirtschaftsforschung / Center for European Economic Research in its series ZEW Discussion Papers with number
99-53.
Find related papers by JEL classification: L80 - Industrial Organization - - Industry Studies: Services - - - General C53 - Mathematical and Quantitative Methods - - Econometric Modeling - - - Forecasting and Other Model Applications O31 - Economic Development, Technological Change, and Growth - - Technological Change - - - Innovation and Invention: Processes and Incentives F14 - International Economics - - Trade - - - Country and Industry Studies of Trade
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