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The impact of export promotion on export market entry

Annette Schminke () and Johannes Van Biesebroeck ()
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Annette Schminke: KU Leuven

Authors registered in the RePEc Author Service: Annette Broocks ()

No 316, Working Paper Research from National Bank of Belgium

Abstract: For small open economies, it is essential that many firms find their way to the export market and most governments provide some form of export promotion assistance. We use detailed firm-level data for Flanders, the largest region in Belgium, to evaluate whether its program raises firms' propensity to start exporting outside the EU single market. We find robust evidence for such an effect by relying on the selection-on-observables assumption which we implement using various estimators. Results remain positive and statistically signifcant, but are smaller in size, when we use two strategies to mitigate self-selection concerns: (i) focus on sub-samples of firms where endogenous selection into treatment is less likely, and (ii) use firms that receive the weakest form of support as controls for firms receiving more extensive support.

Keywords: International trade; trade policy; export market entry (search for similar items in EconPapers)
JEL-codes: F13 F14 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-bec and nep-int
Date: 2016-12
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Related works:
Journal Article: The impact of export promotion on export market entry (2017) Downloads
Working Paper: The Impact of Export Promotion on Export Market Entry (2017) Downloads
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Persistent link: https://EconPapers.repec.org/RePEc:nbb:reswpp:201612-316

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