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How you export matters : export mode, learning and productivity in China

Author: Xue Bai; Kala Krishna; Hong Ma; National Bureau of Economic Research,
Publisher: Cambridge, Mass. : National Bureau of Economic Research, 2015.
Series: Working paper series (National Bureau of Economic Research), no. 21164.
Edition/Format:   eBook : Document : EnglishView all editions and formats
Summary:
This paper shows that how firms export (directly or indirectly via intermediaries) matters. We develop and estimate a dynamic discrete choice model that allows learning-by-exporting on the cost and demand side as well as sunk/fixed costs to differ by export mode. We find that demand and productivity evolve more favorably under direct exporting, though the fixed/sunk costs of this option are higher. Our results  Read more...
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Details

Material Type: Document, Internet resource
Document Type: Internet Resource, Computer File
All Authors / Contributors: Xue Bai; Kala Krishna; Hong Ma; National Bureau of Economic Research,
OCLC Number: 909281848
Notes: "May 2015"
HTML article page lists authors as: Kala Krishna, Xue Bai, Hong Ma.
Description: 1 online resource (54 pages) : illustrations.
Series Title: Working paper series (National Bureau of Economic Research), no. 21164.
Responsibility: Xue Bai, Kala Krishna, Hong Ma.

Abstract:

This paper shows that how firms export (directly or indirectly via intermediaries) matters. We develop and estimate a dynamic discrete choice model that allows learning-by-exporting on the cost and demand side as well as sunk/fixed costs to differ by export mode. We find that demand and productivity evolve more favorably under direct exporting, though the fixed/sunk costs of this option are higher. Our results suggest that had China not liberalized its direct trading rights when it joined the WTO, its exports and export participation would have been 30 and 37 percent lower respectively.

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