Developing Countries Exports Survival in the OECD: Does Experience Matter?

34 Pages Posted: 25 Sep 2014

See all articles by Céline Carrère

Céline Carrère

University of Geneva

Vanessa Strauss‐Kahn

ESCP Europe; Centre d'Etudes Prospectives et d'Info. Internationales (CEPII)

Date Written: July 2014

Abstract

This paper focuses on developing countries that export for the first time to the OECD and obtains several important results on export dynamic, linking exports experience and exports survival. Using product level data at the SITC 5 digit level for 114 developing countries on the 1962-2009 period, we show that prior exports experience obtained in non-OCDE markets increases survival in the OECD market. The effect of experience depreciates however rapidly with time: gaining experience for more than two years is worthless. Moreover, a break in export experience prior to entering the OECD reduces the benefit on survival. Geographic export dynamic reveals that experience is acquired in neighbor, easy to access markets before reaching more distant, richer partners and ultimately serving the OECD. Where the experience is acquired does not however matter for survival.

Keywords: developing countries, duration of export, experience and learning, survival analysis

JEL Classification: C41, F10, F14, O50

Suggested Citation

Carrère, Céline and Strauss‐Kahn, Vanessa, Developing Countries Exports Survival in the OECD: Does Experience Matter? (July 2014). CEPR Discussion Paper No. DP10059, Available at SSRN: https://ssrn.com/abstract=2501532

Céline Carrère (Contact Author)

University of Geneva ( email )

102 Bd Carl-Vogt
Genève, CH - 1205
Switzerland

Vanessa Strauss‐Kahn

ESCP Europe ( email )

79 Avenue de la Republique
Paris, 75011
France

HOME PAGE: http://sites.google.com/site/vstrausskahn

Centre d'Etudes Prospectives et d'Info. Internationales (CEPII) ( email )

9 rue Georges Pitard
Paris Cedex 15, F-75015
France

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