Learning-to-Export Effect as a Response to Export Opportunities: Micro-Evidence from Korean Manufacturing
Date:
11 February 2020Category:
Industry and Manufacturing, Innovation and Technology, TradeType:
Discussion PapersTags:
industry and manufacturing, Innovation, microdata, South Korea, TradePrint Article:
This paper aims to investigate whether empirical evidence supports the learning-to-export hypothesis, which has received little attention in the previous literature. By taking full advantage of plant–product level data from the Republic of Korea during 1990–1998, we find some evidence for the learning-to-export effect, especially for innovated product varieties with delayed exporters: their productivity, together with research and development and investment activity, was superior to their matched sample. On the other hand, this learning-to-export effect was not significantly pronounced for the industries protected by import tariffs. Thus, our empirical findings suggest that it would be desirable to implement some policy tools to promote the learning-to-export effect, while tariff protection cannot be justifiable for that purpose.
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