Do export transitions differently affect firm productivity? Evidence across Vietnamese manufacturing sectors
Thanh Ngo and
Canh Nguyen
MPRA Paper from University Library of Munich, Germany
Abstract:
This paper, by exploring the enriched information in annual Vietnamese enterprise surveys from 2010 to 2015, tries to shed light on the causal effect of the various statuses of export transitions on total factor productivity occurring across 20 manufacturing sectors and during various phases of export transition. The empirical results derived from the system GMM estimation provide evidence of causal direction from export transitions to total factor productivity, after controlling for endogenous variables and taking firm heterogeneity into account. Our results indicate that export effects on productivity are highly dependent on specific manufacturing sectors, and on type of export transition. From the perspective of trade and industrial policies, while supporting the creation of new exporters, some issues related to a high level of subsidy and tax incentives by the government to every exporting firm and export-oriented unit in every manufacturing sector seem to be questionable.
Keywords: Learning-by-exporting; total factor productivity; export persistence; export fluctuation; export striving; manufacturing sectors (search for similar items in EconPapers)
JEL-codes: C23 D21 F14 L60 (search for similar items in EconPapers)
Date: 2019-10-06
New Economics Papers: this item is included in nep-eff, nep-int, nep-isf and nep-sea
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Citations: View citations in EconPapers (1)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:98386
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