Learning by Exporting: Evidence from India

Date: August 2013
Type: Papers and Briefs
Country:
Subject:
Series: Regional Economic Integration Working Papers
Author: Gupta, Apoorva; Patnaik, Ila; Shah, Ajay

Description

Exporting firms are known to be ”better” than non-exporting firms. But is it that better firms become exporters or is it that firms become better after they start exporting? Using data for Indian firms, we find evidence for self-selection of more productive firms into exporting but not for post-entry increase in productivity. We also find that exporters experience a significant boost in productivity just 1 year prior to exporting.

Contents

  • Abstract
  • Introduction
  • Empirical Research on Firm Productivity and Exporting
  • Data and Descriptive Statistics
  • Results
  • Robustness Tests
  • Conclusion and Policy Implications
  • References