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Export Credit Guarantees and Export Performance: Evidence from Austrian Firm-level Data

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  • Harald Badinger
  • Thomas Url

Abstract

This paper provides an economic assessment of export credit guarantee commitments by the Austrian export credit agency, using firm-level data on a cross-section of 178 Austrian exporting firms for the year 2008. In a first step, we estimate the relative importance of various determinants of export guarantee usage. Results suggest that the most crucial determinants are: firm size, whether or not the firm is part of a multinational enterprise, exposure to revenue risk, and R&D intensity. In a second step, we investigate the effects of export guarantees on export performance. Identification is achieved by using as instruments the exogenous determinants of export guarantee usage identified in the first step. We find that there are economically and statistically significant effects of export credit guarantee usage on firm-specific export performance ranging from some 80 to 100 percent compared with the control group of non-users.
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  • Harald Badinger & Thomas Url, 2013. "Export Credit Guarantees and Export Performance: Evidence from Austrian Firm-level Data," The World Economy, Wiley Blackwell, vol. 36(9), pages 1115-1130, September.
    • Handle: RePEc:bla:worlde:v:36:y:2013:i:9:p:1115-1130
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    3. Kemal Turkcan, 2016. "Evolving Patterns of Payment Methods in Turkish Foreign Trade," World Journal of Applied Economics, WERI-World Economic Research Institute, vol. 2(1), pages 3-29, June.
    4. Harald Badinger & Thomas Url, 2014. "Users and Effects of Austrian Export Credit Guarantees," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 15(3), pages 39-44, August.
    5. Srhoj, Stjepan & Vitezic, Vanja & Wagner, Joachim, 2020. "Export boosting policies and firm behaviour: Review of empirical evidence around the world," MPRA Paper 104330, University Library of Munich, Germany.
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    10. Joachim Wagner, 2016. "Credit Constraints and Exports: A Survey of Empirical Studies Using Firm Level Data," World Scientific Book Chapters, in: Microeconometrics of International Trade, chapter 12, pages 401-421, World Scientific Publishing Co. Pte. Ltd..
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    12. Kashika Arora & Areej A. Siddiqui & Biswajit Nag, 2020. "Devevloping Linkages Between Export Guarantees And Technical Efficiency Of Indian Firms," Working Papers 2045, Indian Institute of Foreign Trade.
    13. Agarwal, Natasha & Chan, Jackie M.L. & Lodefalk, Magnus & Tang, Aili & Tano, Sofia & Wang, Zheng, 2023. "Mitigating information frictions in trade: Evidence from export credit guarantees," Journal of International Economics, Elsevier, vol. 145(C).
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    15. Harald Oberhofer, 2014. "Die Wettbewerbsfähigkeit der österreichischen Exportwirtschaft: Die Rolle der KMUs," FIW Policy Brief series 025, FIW.
    16. Shujaat Naeem Azmi & Shakeb Akhtar, 2023. "Interactions of services export, financial development and growth: evidence from India," Quality & Quantity: International Journal of Methodology, Springer, vol. 57(5), pages 4709-4724, October.
    17. Jung Hur & Haeyeon Yoon, 2022. "The Effect of Public Export Credit Supports on Firm Performance," Bristol Economics Discussion Papers 22/760, School of Economics, University of Bristol, UK.
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    19. Inga Heiland & Erdal Yalcin, 2021. "Export market risk and the role of state credit guarantees," International Economics and Economic Policy, Springer, vol. 18(1), pages 25-72, February.
    20. Thomas Url, 2016. "Gesamtwirtschaftliche Auswirkungen der Exportgarantien in Österreich," WIFO Studies, WIFO, number 58839, Juni.
    21. Gunther Tichy, 2015. "Wirtschaftsstandort Österreich – von der "Überholspur" aufs "Abstellgleis"," WIFO Monatsberichte (monthly reports), WIFO, vol. 88(8), pages 635-648, August.
    22. Hea-Jung Hyun & Jung Hur, 2021. "Global Financial Crisis, Export Credit Insurance, and Scope Adjustment of Multiproduct Exporting Firms," Working Papers 2106, Nam Duck-Woo Economic Research Institute, Sogang University (Former Research Institute for Market Economy).
    23. Quy T. Vo & Tho V. Nguyen & Tin H. Ho & Hien T. T. Bui & Khoa N. A. Le, 2023. "Supportive Policies of Government as the Drivers of SMEs’ Export Performance: A Study in Ho Chi Minh City, Vietnam," SAGE Open, , vol. 13(4), pages 21582440231, November.
    24. Srhoj Stjepan & Vitezić Vanja & Wagner Joachim, 2023. "Export Boosting Policies and Firm Performance: Review of Empirical Evidence Around the World," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 243(1), pages 45-92, February.

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