Economics at your fingertips  

Institutions and export dynamics

Luis Araujo, Giordano Mion () and Emanuel Ornelas

Journal of International Economics, 2016, vol. 98, issue C, 2-20

Abstract: We study how contract enforcement and export experience shape firm export dynamics in an environment with incomplete information. We show that exporters start with higher volumes and sell for longer periods in countries with better contracting institutions and when they have prior foreign experience. However, conditional on survival, firm export growth decreases with the quality of the country's institutions. Controlling for time-varying firm unobservables and other factors, we confirm these and other predictions using a panel of Belgian exporting firms from 1995 to 2008. The results highlight the manifold implications of export experience and contracting institutions for firm dynamics in foreign markets.

Keywords: Firm-level exports; Contract enforcement; Trade dynamics; Export experience; Contracting institutions (search for similar items in EconPapers)
JEL-codes: F10 F12 L14 (search for similar items in EconPapers)
Date: 2016
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (34) Track citations by RSS feed

Downloads: (external link)
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Institutions and Export Dynamics (2012) Downloads
Working Paper: Institutions and Export Dynamics (2012) Downloads
Working Paper: Institutions and export dynamics (2012) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Access Statistics for this article

Journal of International Economics is currently edited by Gourinchas, Pierre-Olivier and Rodríguez-Clare, Andrés

More articles in Journal of International Economics from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

Page updated 2019-06-18
Handle: RePEc:eee:inecon:v:98:y:2016:i:c:p:2-20