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Entering New Country and Product Markets: Does Export Promotion Help?

Christian Volpe Martincus and Jeronimo Carballo

No 3172, IDB Publications (Working Papers) from Inter-American Development Bank

Abstract: Entering new export markets is primarily a discrete choice. Even though several empirical papers have used modeling strategies consistent with this fact, no study has examined the effects of public policies aimed at affecting this decision within this setting. In this paper we assess the impact of trade promotion activities on export outcomes using trade support and highly disaggregated export data for the whole population of exporters of a small developing country, Uruguay, over the period 2000-2007 to estimate a binary outcome model which allows for unobserved heterogeneity. We find that trade supporting activities have helped firms reach new destination countries and introduce new differentiated products.

Keywords: Export Promotion; Firm Exports (search for similar items in EconPapers)
JEL-codes: C23 F13 F14 H32 H40 L15 (search for similar items in EconPapers)
Date: 2011-08
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Journal Article: Entering new country and product markets: does export promotion help? (2010) Downloads
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