Do bigger and older firms learn more from exporting? — Evidence from China

Bih Jane Liu

China Economic Review, 2017, vol. 45, issue C, 89-102

Abstract: The literature has extensively discussed whether firms benefit from exporting (referred to as the learning-by-exporting (LBE) effect), but the empirical evidence is inconclusive. This paper draws on firm experience (age) to explain this question by using Chinese firm-level data for the period 1998–2007 to examine whether younger firms learn more from exporting than older firms. Employing propensity score matching and the difference-in-difference approach, we show significant LBE effects for older firms, especially those engaging in R&D activities, having large-scale production, and under private ownership. However, the yearly or cumulative LBE effects are either insignificant or rather limited for younger firms regardless of their R&D status and firm size.

Keywords: Learning-by-exporting; Firm experience; Firm age; Firm size; China study (search for similar items in EconPapers)
Date: 2017
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Citations: View citations in EconPapers (7)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:chieco:v:45:y:2017:i:c:p:89-102

DOI: 10.1016/j.chieco.2017.06.005

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