Impact of Export Destinations on Firm Performance
This paper evaluates the role of export destinations on productivity, employment, and wages of Turkish firms by comparing the performance of firms that export to low-income destinations and high-income destinations with firms that do not export. A...
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| Language: | English en_US |
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World Bank, Washington, DC
2014
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| Online Access: | http://documents.worldbank.org/curated/en/2014/01/18798318/impact-export-destinations-firm-performance http://hdl.handle.net/10986/16819 |
| Summary: | This paper evaluates the role of export
destinations on productivity, employment, and wages of
Turkish firms by comparing the performance of firms that
export to low-income destinations and high-income
destinations with firms that do not export. A combination of
propensity score matching and difference-in-differences
methods are employed on a rich set of firm observables,
including sector, region, employment, total factor
productivity (TFP), capital intensity, wages, support from
government, ownership, and the research and development
intensity of firms. Four sets of findings emerge from the
analysis: i) Export entry has a positive causal effect on
firm TFP and employment and this effect is strengthened as a
firm continues to export. ii) In contrast, export entry has
a moderate wage effect that emerges only with a lag. iii)
Unlike exporting to high-income destinations, exporting to
low-income destinations does not result in significantly
higher firm TFP and wages. iv) The employment effect of
exporting to low-income destinations is comparable to that
of exporting to high-income destinations. |
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