American Economic Journal:
Microeconomics
ISSN 1945-7669 (Print) | ISSN 1945-7685 (Online)
Detecting Learning by Exporting
American Economic Journal: Microeconomics
vol. 5,
no. 3, August 2013
(pp. 1–21)
Abstract
Learning by exporting refers to the mechanism whereby a firm's performance improves after entering export markets. This mechanism is often mentioned in policy documents, but many econometric studies have not found corroborating evidence. I show that the econometric methods rely on an assumption that productivity evolves exogenously. I show how to accommodate endogenous productivity processes such as learning by exporting. I discuss the bias introduced by ignoring such a process, and show that adjusting for it can lead to different conclusions. Using micro data from Slovenia I find evidence of substantial productivity gains from entering export markets.Citation
De Loecker, Jan. 2013. "Detecting Learning by Exporting." American Economic Journal: Microeconomics, 5 (3): 1–21. DOI: 10.1257/mic.5.3.1Additional Materials
JEL Classification
- D22 Firm Behavior: Empirical Analysis
- D24 Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
- D83 Search; Learning; Information and Knowledge; Communication; Belief
- F14 Empirical Studies of Trade
- L25 Firm Performance: Size, Diversification, and Scope
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