The Returns to Exporting: Evidence from UK Firms

Abstract

The question of learning versus self-selection has dominated the micro-econometric literature on firm export decisions, without leading to any firm conclusions. In part this reflects the limited information content of the data typically used. In this paper we use survey data on UK firms to offer some new insights into this debate. Consistent with the literature we find that the impacts of exporting on the size of firms are strongest, but that productivity type impacts also occur. These effects are larger the higher the export intensity of firms and the shorter their export experience.

Keywords: Learning by exporting, exports, productivity

JEL Classification: D21, F14