Exports, R&D and Productivity in German Business Services Firms: A test of the Bustos-model
This paper uses newly available data for German business services firms to test a hypothesis derived by Bustos (AER 2011) in a model that explains the decision of heterogeneous firms to export and to engage in R&D. Using a non-parametric test for first order stochastic dominance it is shown that, in line with this hypothesis, the productivity distribution of firms with exports and R&D dominates that of exporters without R&D, which in turn dominates that of firms that neither export nor engage in R&D. These results are in line with findings for firms from manufacturing industries. The model, therefore, seems to be useful to guide empirical work on the relation between exports, R&D and productivity for services firms, too.
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- Paula Bustos, 2009.
"Trade liberalization, exports and technology upgrading: Evidence on the impact of MERCOSUR on Argentinean firms,"
Economics Working Papers
1173, Department of Economics and Business, Universitat Pompeu Fabra.
- Paula Bustos, 2011. "Trade Liberalization, Exports, and Technology Upgrading: Evidence on the Impact of MERCOSUR on Argentinian Firms," American Economic Review, American Economic Association, vol. 101(1), pages 304-40, February.
- Paula Bustos, 2009. "Trade Liberalization, Exports and Technology Upgrading: Evidence on the Impact of MERCOSUR on Argentinean Firms," 2009 Meeting Papers 1029, Society for Economic Dynamics.
- Alexander Vogel, 2009.
"The German Business Services Statistics Panel 2003 to 2007,"
Schmollers Jahrbuch : Journal of Applied Social Science Studies / Zeitschrift für Wirtschafts- und Sozialwissenschaften,
Duncker & Humblot, Berlin, vol. 129(3), pages 515-522.
- Alexander Vogel, 2009. "The German Business Services Statistics Panel 2003 to 2007," Working Paper Series in Economics 127, University of Lüneburg, Institute of Economics.
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