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Export Premium, Self-selection and Learning-by-Exporting: Evidence from Chinese Matched Firms

Yang, Yong and Mallick, Sushanta (2010) 'Export Premium, Self-selection and Learning-by-Exporting: Evidence from Chinese Matched Firms.' The World Economy, 33 (10). pp. 1218-1240. ISSN 0378-5920

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This study empirically focuses on examining the hypotheses of export premium (exporters are more productive than non-exporters), selection-into-exporting (more productive firms are ones that tend to become exporters) and learning-by-exporting (new export market entrants have higher productivity growth than non-exporters in the post-entry period). The propensity score matching method is used to adjust for observable differences of firm characteristics between exporters and non-exporters, allowing an adequate ‘like-for-like’ comparison. We also use the difference-in-difference matching estimator to capture the magnitude of different productivity growth between matched new export market entrants and non-exporters in the post-entry period up to two years. Drawing on 2,340 Chinese firms in the period 2000–02, we find evidence for export premium and self-selection, and once the firm has entered the export market there is additional productivity growth from the learning effect, in particular in the second year after entry.

Item Type: Article
Subjects: H Social Sciences > HD Industries. Land use. Labor
Divisions: Faculty of Social Sciences > Essex Business School
Depositing User: Jim Jamieson
Date Deposited: 27 Nov 2012 11:52
Last Modified: 27 Nov 2012 11:52

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