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Self Selection and Post-Entry effects of Exports. Evidence from Italian Manufacturing firms

Francesco Serti () and Chiara Tomasi ()

LEM Papers Series from Laboratory of Economics and Management (LEM), Sant'Anna School of Advanced Studies, Pisa, Italy

Abstract: A large body of empirical research suggests the superior performance of exporting firms relative to non exporters. Specifically, firms involved in foreign markets are found to be larger, more productive, more capital and skilled-intensive. This paper provides empirical evidence of the relationship between firm's performances and export behavior in Italian manufacturing firms. Similarly to other empirical studies, we find that exporters are more productive relative to non exporters. Our empirical analysis support the idea that the superior performance of the former is due to a market selection mechanism according to which only the most productive firms are capable of entering international markets. Moreover, we provide empirical evidence on the causal effects of exporting on productivity (and other interesting firm characteristics) by using an econometric approach that combines propensity score matching and Differences in Differences techniques.

Keywords: Learning by exporting; Export Behavior; Productivity; Matching (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-bec and nep-eff
Date: 2007-09-11
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Journal Article: Self-Selection and Post-Entry Effects of Exports: Evidence from Italian Manufacturing Firms (2008) Downloads
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