IDEAS home Printed from https://ideas.repec.org/p/kob/dpaper/239.html
   My bibliography  Save this paper

Superiority of Exporters and the Causality Between Exporting and Firm Characteristics in Vietnam

Author

Listed:
  • Nguyen Hiep

    (Research Institute for Economics & Business Administration (RIEB), Kobe University, Japan)

  • Hiroshi Ohta

    (Graduate School of International Cooperation Studies (GSICS), Kobe University, Japan)

Abstract

The study in this paper is on the causal relationship between export activities of firms and their characteristics in a transition country that is pursuing export-led growth strategies and experiencing a fast track of trade liberalization. For this purpose, we examine the superiority of exporters using a panel of firm-level data of manufacturing firms in Vietnam. We observe that exceptional performance of exporters, especially in TFP, does prevail in this country. Via testing self-selection hypothesis using a random-effects dynamic probit model to examine the causality from firm characteristics to export probability, we find significantly positive impacts of factors such as firm size, age or foreign ownership but not that of TFP. However, TFP superiority of exporters is satisfactorily explained by the existence of learning-by-exporting effects that are tested in a multivariate analysis using matching technique in combination with difference-in-differences approach. Besides contributing an empirical analysis to heterogeneous-firm trade theories, this study gives us some insights into the interpretation of mixed findings in macro-analysis of the effects of exports on growth in Vietnam.

Suggested Citation

  • Nguyen Hiep & Hiroshi Ohta, 2009. "Superiority of Exporters and the Causality Between Exporting and Firm Characteristics in Vietnam," Discussion Paper Series 239, Research Institute for Economics & Business Administration, Kobe University.
  • Handle: RePEc:kob:dpaper:239
    as

    Download full text from publisher

    File URL: https://www.rieb.kobe-u.ac.jp/academic/ra/dp/English/dp239.pdf
    File Function: First version, 2009
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Channing Arndt, 2018. "New Data, New Approaches and New Evidence: A Policy Synthesis," South African Journal of Economics, Economic Society of South Africa, vol. 86(S1), pages 167-178, January.
    2. Arslan Razmi & Gonzalo Hernandez, 2011. "Can Asia Sustain an Export-Led Growth Strategy in the Aftermath of the Global Crisis? An Empirical Exploration," Trade Working Papers 23207, East Asian Bureau of Economic Research.
    3. Vu, Mai T.P. & Bellone, Flora & Dovis, Marion, 2018. "Productivity and wage premiums: Evidence from Vietnamese ordinary and processing exporters," International Economics, Elsevier, vol. 154(C), pages 48-67.
    4. Vu, Van Huong, 2012. "Higher productivity in Exporters: self-selection, learning by exporting or both? Evidence from Vietnamese manufacturing SMEs," MPRA Paper 40708, University Library of Munich, Germany.
    5. Arslan Razmi, 2009. "Must Improved Labor Standards Hurt Accumulation in the Targeted Sector? Stylized Analysis of a Developing Economy," UMASS Amherst Economics Working Papers 2009-09, University of Massachusetts Amherst, Department of Economics.
    6. Channing Arndt, 2018. "New Data, New Approaches and New Evidence: A Policy Synthesis," South African Journal of Economics, Economic Society of South Africa, vol. 86(S1), pages 167-178, January.
    7. Vu, Van Huong, 2012. "Does export participation affect wages and employment quality? the case of Vietnamese SMEs," MPRA Paper 38696, University Library of Munich, Germany.
    8. Jimenez, Gonzalo Hernandez & Razmi, Arslan, 2013. "Can Asia sustain an export-led growth strategy in the aftermath of the global crisis? Exploring a neglected aspect," Journal of Asian Economics, Elsevier, vol. 29(C), pages 45-61.

    More about this item

    Keywords

    Exporter superiority; Self-selection; Learning-by-exporting; Vietnam;
    All these keywords.

    JEL classification:

    • F10 - International Economics - - Trade - - - General
    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • F43 - International Economics - - Macroeconomic Aspects of International Trade and Finance - - - Economic Growth of Open Economies
    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • L20 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - General
    • L60 - Industrial Organization - - Industry Studies: Manufacturing - - - General

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kob:dpaper:239. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Office of Promoting Research Collaboration, Research Institute for Economics & Business Administration, Kobe University (email available below). General contact details of provider: https://edirc.repec.org/data/rikobjp.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.