Export mode, Trade Costs, and Productivity Sorting

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dc.contributor.author Davies, Ronald B.
dc.contributor.author Jeppesen, Tine
dc.date.accessioned 2012-10-16T16:19:24Z
dc.date.available 2012-10-16T16:19:24Z
dc.date.issued 2012-10
dc.identifier.other 201225 en
dc.identifier.uri http://hdl.handle.net/10197/3878
dc.description.abstract In this paper we directly test the proposed productivity hierarchy of direct, indirect and non-exporters using firm-level data from 105 developing and transition countries. Using both regression analysis and propensity score matching, we find strong evidence to suggest that direct exporters are on average more productive than both indirect and non-exporters. However, only the results obtained using regression analysis support a similar ranking between indirect and non-exporters. Furthermore, we test the underlying relationship between source-specific fixed trade costs and the average productivity differences between the three firm-types. We find a significant and positive relation between such costs and the average productivity premium of direct exporters only. While other studies have shown that exports by trade intermediaries increase with destination-specific fixed costs, our results suggest that this is also true for source-specific costs, as an increase in the average productivity of direct exporters indicate that a larger share of less productive direct exporters choose to make use of a trade intermediary as export costs rise. en
dc.description.sponsorship Not applicable en
dc.language.iso en en
dc.publisher University College Dublin. School of Economics en
dc.relation.ispartofseries UCD Centre for Economic Research Working Paper Series en
dc.relation.ispartofseries WP12/25 en
dc.relation.requires Economists Online Collection & RePEc en
dc.subject Heterogeneous firms en
dc.subject Export mode en
dc.subject Exporting costs en
dc.subject.lcsh Industrial productivity en
dc.subject.lcsh Exports en
dc.subject.lcsh Costs, Industrial en
dc.title Export mode, Trade Costs, and Productivity Sorting en
dc.type Working Paper en
dc.internal.availability Full text available en
dc.internal.webversions http://www.ucd.ie/t4cms/WP12_25.pdf en
dc.status Not peer reviewed en
dc.neeo.contributor Davies|Ronald B.|aut|
dc.neeo.contributor Jeppesen|Tine|aut|

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