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Export Growth in Colombia: Firm-Level Evidence

Author

Listed:
  • Jhonatan Eaton

    ()

  • Marcela Eslava

    ()

  • Maurice Kugler

    ()

  • James Tybout

    ()

Abstract

Using transactions-level customs data from Colombia, we study firm-specific exporting patterns over the period 1996-2005. Our data allow us to track firms’ entry and exit into and out of individual destination markets, as well their revenues from selling there. Our results support findings from previous work: Exporters are very heterogeneous in terms of their size and the number of destinations where they sell. Since previous studies have not been able to use data on firms entering and leaving individual export markets, they have been unable to study patterns of entry and exit. The panel data in the current study provide information on how exports by individual firms to specific destinations evolve over time. While many firms enter and exit from exporting, these firms tend to be small in terms of their overall contribution to export revenues. Export sales are dominated by a small number of very large and stable exporters. In terms of the life cycle of exporting firms, most entering firms leave after one year of exporting. A small minority go on to become stable incumbents.

Suggested Citation

  • Jhonatan Eaton & Marcela Eslava & Maurice Kugler & James Tybout, 2007. "Export Growth in Colombia: Firm-Level Evidence," Borradores de Economia 446, Banco de la Republica de Colombia.
  • Handle: RePEc:bdr:borrec:446
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    Citations

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    Cited by:

    1. Cadot, Olivier & Iacovone, Leonardo & Pierola, Martha Denisse & Rauch, Ferdinand, 2013. "Success and failure of African exporters," Journal of Development Economics, Elsevier, vol. 101(C), pages 284-296.
    2. Stirbat, Liviu & Record, Richard & Nghardsaysone, Konesawang, 2011. "Exporting from a small landlocked economy : an assessment of firm-product-destination survival rates in the Lao PDR," Policy Research Working Paper Series 5695, The World Bank.
    3. Alessandria, George & Choi, Horag, 2014. "Establishment heterogeneity, exporter dynamics, and the effects of trade liberalization," Journal of International Economics, Elsevier, vol. 94(2), pages 207-223.
    4. Andrew Cassey & Katherine Schmeiser, 2013. "The agglomeration of exporters by destination," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 51(2), pages 495-513, October.
    5. Zahler, Andrés, 2007. "Decomposing world export growth and the relevance of new destinations," MPRA Paper 30295, University Library of Munich, Germany.
    6. Schuster, Monica & Maertens, Miet, 2013. "Food Standards, Heterogeneous Firms and Developing Countries’ Export Performance," Working Papers 152084, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    7. Stirbat, Liviu & Record, Richard & Nghardsaysone, Konesawang, 2013. "Determinants of export survival in the Lao PDR," Policy Research Working Paper Series 6301, The World Bank.

    More about this item

    Keywords

    Transactions; exports; incumbent; entry; exit.;

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F19 - International Economics - - Trade - - - Other
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • D29 - Microeconomics - - Production and Organizations - - - Other

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