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Self-selection into Exports: Productivity and/or Innovation?


  • Juan A. Máñez-Castillejo
  • María E. Rochina-Barrachina
  • Juan A. Sanchis-Llopis


Recent research has related the firm decision to export with firm innovation activities and productivity. The aim of this paper is to disentangle the direct and indirect links through which self-selection into exports, coming both from productivity and innovation, may operate. For this purpose we use Spanish manufacturing firm data for the period 1990 – 2000, drawn from the Encuesta sobre Estrategias Empresariales. The main results we obtain can be summarized as follows. First, there is a self-selection into exports direct effect coming from productivity. Second, there is also a self-selection indirect effect into exports stemming from productivity to the probability of exporting through process innovations: the higher the productivity the higher the probability of introducing process innovations and, therefore, the likelihood of starting to export. Third, there is a self-selection into exporting indirect effect of process innovations that operates through productivity: process innovations increase productivity and, therefore, the probability to export.

Suggested Citation

  • Juan A. Máñez-Castillejo & María E. Rochina-Barrachina & Juan A. Sanchis-Llopis, 2009. "Self-selection into Exports: Productivity and/or Innovation?," Applied Economics Quarterly (formerly: Konjunkturpolitik), Duncker & Humblot, Berlin, vol. 55(3), pages 219-242.
  • Handle: RePEc:aeq:aeqaeq:v55_y2009_i3_q3_p219-242

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    References listed on IDEAS

    1. Helmut Fryges & Joachim Wagner, 2008. "Exports and Productivity Growth: First Evidence from a Continuous Treatment Approach," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 144(4), pages 695-722, December.
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    Cited by:

    1. Movahedi, Mohammad & Gaussens, Olivier, 2011. "Innovation, productivity, and export: Evidence from SMEs in Lower Normandy, France," MPRA Paper 40443, University Library of Munich, Germany, revised 07 Jun 2012.
    2. Naqeeb Ur Rehman, 2017. "Self-selection and learning-by-exporting hypotheses: micro-level evidence," Eurasian Economic Review, Springer;Eurasia Business and Economics Society, vol. 7(1), pages 133-160, April.
    3. Movahedi, Mohammad & Shahbazi, Kiumars & Gaussens, Olivier, 2017. "Innovation and willingness to export: Is there an effect of conscious self-selection?," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy (IfW), vol. 11, pages 1-22.
    4. Gómez, Jaime & Vargas, Pilar, 2012. "Intangible resources and technology adoption in manufacturing firms," Research Policy, Elsevier, vol. 41(9), pages 1607-1619.
    5. Mohammad Movahedi & Olivier Gaussens, 2011. "Innovation, productivité et exportation : Y-a-t-il un effet d'auto-sélection consciente? Une étude empirique sur les PMI de basse-Normandie," Economics Working Paper Archive (University of Rennes 1 & University of Caen) 201123, Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS.

    More about this item


    self-selection; exports; productivity; innovation; persistence;

    JEL classification:

    • F1 - International Economics - - Trade
    • L1 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance
    • C3 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables


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