Importing, Exporting and Innovation in Developing Countries
Recent studies have shown that not only exporters but also importers perform better than firms that do not trade. Using a detailed firm level dataset from 43 developing countries, I show that there are persistent differences in evolution of firms w...
| Main Author: | |
|---|---|
| Format: | Policy Research Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
|
| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2009/12/11512123/importing-exporting-innovation-developing-countries http://hdl.handle.net/10986/19957 |
| id |
okr-10986-19957 |
|---|---|
| recordtype |
oai_dc |
| spelling |
okr-10986-199572021-04-23T14:03:52Z Importing, Exporting and Innovation in Developing Countries Seker, Murat ACCESS TO FOREIGN MARKETS CAPITAL STOCK CERTIFICATE CERTIFICATES COMPANY CORRELATION MATRIX COUNTRY FIXED EFFECTS DATA ANALYSIS DEVELOPING COUNTRIES DOMESTIC MARKET DOMESTIC MARKETS DRIVERS ECONOMIC ACTIVITY ECONOMIC ANALYSIS ECONOMIC DEVELOPMENT ECONOMIC SURVEYS ECONOMICS ELASTICITY ELASTICITY OF SUBSTITUTION EMPLOYMENT EMPLOYMENT GROWTH EMPLOYMENTS ENTERPRISE SURVEYS EQUIPMENT EXCHANGE RATE EXPECTED PRESENT VALUE EXPORT MARKET EXPORTS EXPOSURE EXTERNAL FINANCE FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIARY FIRM GROWTH FIRM PERFORMANCE FIRM SIZE FIRMS FIXED COST FOREIGN INPUTS FOREIGN MARKETS FOREIGN OWNERSHIP GDP GDP DEFLATOR GENERAL EQUILIBRIUM GLOBAL ECONOMY GLOBAL MARKETS GLOBALIZATION GROWTH RATE GROWTH RATES HUMAN CAPITAL INDUSTRIAL ECONOMICS INDUSTRIAL STRUCTURE INDUSTRY PRODUCTIVITY INNOVATION INNOVATION FUNCTION INTEREST RATE INTERNATIONAL MARKETS INTERNATIONAL TRADE LABOR PRODUCTIVITY LICENSE LICENSES LOCAL CURRENCIES MANUFACTURERS MANUFACTURING MANUFACTURING INDUSTRIES MANUFACTURING INDUSTRY MARGINAL COST MARKET COMPETITION MATERIAL MONOPOLISTIC COMPETITION MONOPOLY MONOPOLY RENTS NEW PRODUCT NEW PRODUCTS OPEN ECONOMIES OUTPUT OWNERSHIP STRUCTURE PERFORMANCE MEASURES POLITICAL ECONOMY PRICE MOVEMENTS PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRODUCT DIFFERENTIATION PRODUCT INNOVATION PRODUCTION FUNCTION PRODUCTION PROCESSES PRODUCTIVITY PRODUCTIVITY GROWTH PROFIT MAXIMIZATION R&D REGRESSION ANALYSIS RELIABILITY RENTS RESULT RESULTS ROBUSTNESS ANALYSIS SALES GROWTH SENSITIVITY ANALYSIS SUNK COSTS TECHNOLOGICAL CHANGE TECHNOLOGICAL INNOVATION TECHNOLOGICAL INNOVATIONS TECHNOLOGY DIFFUSION TECHNOLOGY TRANSFER TOTAL REVENUE TRADE LIBERALIZATION TRADE POLICIES TRADING ACTIVITIES USES WAGES WEB WORLD ECONOMY Recent studies have shown that not only exporters but also importers perform better than firms that do not trade. Using a detailed firm level dataset from 43 developing countries, I show that there are persistent differences in evolution of firms when they are grouped according to their trade orientation as: two-way traders (both importing and exporting), only exporters, only importers, and non-traders. Extending the existing models of firm evolution in open economies by incorporating importing decision, I show that: i) globally engaged firms are larger, more productive, and grow faster than non-traders; ii) two-way traders are the fastest growing and most innovative group who are followed by only-exporters; iii) estimating export premium without controlling for import status is likely to overestimate the actual value by capturing the import premium; and iv) R&D investment contributes to growth of traders significantly more than to non-traders. Finally I show the robustness of the findings by providing evidence from the panel data constructed from the original dataset and controlling for variables that are likely to affect firm growth. 2014-09-02T21:50:12Z 2014-09-02T21:50:12Z 2009-12 http://documents.worldbank.org/curated/en/2009/12/11512123/importing-exporting-innovation-developing-countries http://hdl.handle.net/10986/19957 English en_US Policy Research Working Paper;No. 5156 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ACCESS TO FOREIGN MARKETS CAPITAL STOCK CERTIFICATE CERTIFICATES COMPANY CORRELATION MATRIX COUNTRY FIXED EFFECTS DATA ANALYSIS DEVELOPING COUNTRIES DOMESTIC MARKET DOMESTIC MARKETS DRIVERS ECONOMIC ACTIVITY ECONOMIC ANALYSIS ECONOMIC DEVELOPMENT ECONOMIC SURVEYS ECONOMICS ELASTICITY ELASTICITY OF SUBSTITUTION EMPLOYMENT EMPLOYMENT GROWTH EMPLOYMENTS ENTERPRISE SURVEYS EQUIPMENT EXCHANGE RATE EXPECTED PRESENT VALUE EXPORT MARKET EXPORTS EXPOSURE EXTERNAL FINANCE FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIARY FIRM GROWTH FIRM PERFORMANCE FIRM SIZE FIRMS FIXED COST FOREIGN INPUTS FOREIGN MARKETS FOREIGN OWNERSHIP GDP GDP DEFLATOR GENERAL EQUILIBRIUM GLOBAL ECONOMY GLOBAL MARKETS GLOBALIZATION GROWTH RATE GROWTH RATES HUMAN CAPITAL INDUSTRIAL ECONOMICS INDUSTRIAL STRUCTURE INDUSTRY PRODUCTIVITY INNOVATION INNOVATION FUNCTION INTEREST RATE INTERNATIONAL MARKETS INTERNATIONAL TRADE LABOR PRODUCTIVITY LICENSE LICENSES LOCAL CURRENCIES MANUFACTURERS MANUFACTURING MANUFACTURING INDUSTRIES MANUFACTURING INDUSTRY MARGINAL COST MARKET COMPETITION MATERIAL MONOPOLISTIC COMPETITION MONOPOLY MONOPOLY RENTS NEW PRODUCT NEW PRODUCTS OPEN ECONOMIES OUTPUT OWNERSHIP STRUCTURE PERFORMANCE MEASURES POLITICAL ECONOMY PRICE MOVEMENTS PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRODUCT DIFFERENTIATION PRODUCT INNOVATION PRODUCTION FUNCTION PRODUCTION PROCESSES PRODUCTIVITY PRODUCTIVITY GROWTH PROFIT MAXIMIZATION R&D REGRESSION ANALYSIS RELIABILITY RENTS RESULT RESULTS ROBUSTNESS ANALYSIS SALES GROWTH SENSITIVITY ANALYSIS SUNK COSTS TECHNOLOGICAL CHANGE TECHNOLOGICAL INNOVATION TECHNOLOGICAL INNOVATIONS TECHNOLOGY DIFFUSION TECHNOLOGY TRANSFER TOTAL REVENUE TRADE LIBERALIZATION TRADE POLICIES TRADING ACTIVITIES USES WAGES WEB WORLD ECONOMY |
| spellingShingle |
ACCESS TO FOREIGN MARKETS CAPITAL STOCK CERTIFICATE CERTIFICATES COMPANY CORRELATION MATRIX COUNTRY FIXED EFFECTS DATA ANALYSIS DEVELOPING COUNTRIES DOMESTIC MARKET DOMESTIC MARKETS DRIVERS ECONOMIC ACTIVITY ECONOMIC ANALYSIS ECONOMIC DEVELOPMENT ECONOMIC SURVEYS ECONOMICS ELASTICITY ELASTICITY OF SUBSTITUTION EMPLOYMENT EMPLOYMENT GROWTH EMPLOYMENTS ENTERPRISE SURVEYS EQUIPMENT EXCHANGE RATE EXPECTED PRESENT VALUE EXPORT MARKET EXPORTS EXPOSURE EXTERNAL FINANCE FINANCIAL INSTITUTIONS FINANCIAL INTERMEDIARY FIRM GROWTH FIRM PERFORMANCE FIRM SIZE FIRMS FIXED COST FOREIGN INPUTS FOREIGN MARKETS FOREIGN OWNERSHIP GDP GDP DEFLATOR GENERAL EQUILIBRIUM GLOBAL ECONOMY GLOBAL MARKETS GLOBALIZATION GROWTH RATE GROWTH RATES HUMAN CAPITAL INDUSTRIAL ECONOMICS INDUSTRIAL STRUCTURE INDUSTRY PRODUCTIVITY INNOVATION INNOVATION FUNCTION INTEREST RATE INTERNATIONAL MARKETS INTERNATIONAL TRADE LABOR PRODUCTIVITY LICENSE LICENSES LOCAL CURRENCIES MANUFACTURERS MANUFACTURING MANUFACTURING INDUSTRIES MANUFACTURING INDUSTRY MARGINAL COST MARKET COMPETITION MATERIAL MONOPOLISTIC COMPETITION MONOPOLY MONOPOLY RENTS NEW PRODUCT NEW PRODUCTS OPEN ECONOMIES OUTPUT OWNERSHIP STRUCTURE PERFORMANCE MEASURES POLITICAL ECONOMY PRICE MOVEMENTS PRIVATE SECTOR PRIVATE SECTOR DEVELOPMENT PRODUCT DIFFERENTIATION PRODUCT INNOVATION PRODUCTION FUNCTION PRODUCTION PROCESSES PRODUCTIVITY PRODUCTIVITY GROWTH PROFIT MAXIMIZATION R&D REGRESSION ANALYSIS RELIABILITY RENTS RESULT RESULTS ROBUSTNESS ANALYSIS SALES GROWTH SENSITIVITY ANALYSIS SUNK COSTS TECHNOLOGICAL CHANGE TECHNOLOGICAL INNOVATION TECHNOLOGICAL INNOVATIONS TECHNOLOGY DIFFUSION TECHNOLOGY TRANSFER TOTAL REVENUE TRADE LIBERALIZATION TRADE POLICIES TRADING ACTIVITIES USES WAGES WEB WORLD ECONOMY Seker, Murat Importing, Exporting and Innovation in Developing Countries |
| relation |
Policy Research Working Paper;No. 5156 |
| description |
Recent studies have shown that not only
exporters but also importers perform better than firms that
do not trade. Using a detailed firm level dataset from 43
developing countries, I show that there are persistent
differences in evolution of firms when they are grouped
according to their trade orientation as: two-way traders
(both importing and exporting), only exporters, only
importers, and non-traders. Extending the existing models of
firm evolution in open economies by incorporating importing
decision, I show that: i) globally engaged firms are larger,
more productive, and grow faster than non-traders; ii)
two-way traders are the fastest growing and most innovative
group who are followed by only-exporters; iii) estimating
export premium without controlling for import status is
likely to overestimate the actual value by capturing the
import premium; and iv) R&D investment contributes to
growth of traders significantly more than to non-traders.
Finally I show the robustness of the findings by providing
evidence from the panel data constructed from the original
dataset and controlling for variables that are likely to
affect firm growth. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Seker, Murat |
| author_facet |
Seker, Murat |
| author_sort |
Seker, Murat |
| title |
Importing, Exporting and Innovation in Developing Countries |
| title_short |
Importing, Exporting and Innovation in Developing Countries |
| title_full |
Importing, Exporting and Innovation in Developing Countries |
| title_fullStr |
Importing, Exporting and Innovation in Developing Countries |
| title_full_unstemmed |
Importing, Exporting and Innovation in Developing Countries |
| title_sort |
importing, exporting and innovation in developing countries |
| publisher |
World Bank, Washington, DC |
| publishDate |
2014 |
| url |
http://documents.worldbank.org/curated/en/2009/12/11512123/importing-exporting-innovation-developing-countries http://hdl.handle.net/10986/19957 |
| _version_ |
1764444156621488128 |