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Exports, R&D and Productivity: A test of the Bustos-model with German enterprise data

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  • Joachim Wagner

    (Leuphana University Lueneburg, Germany)

Abstract

This paper presents the first empirical test with German firm level data of a hypothesis derived by Bustos (AER 2011) in a model that explains the decision of heterogeneous firms to export and to engage in R&D. Using a non-parametric test for first order stochastic dominance it is shown that, in line with this hypothesis, the productivity distribution of firms with exports and R&D dominates that of exporters without R&D, which in turn dominates that of firms that neither export nor engage in R&D. These results are in line with findings for Argentina. The model, therefore, seems to be useful to guide empirical work on the relation between exports, R&D and productivity.

Suggested Citation

  • Joachim Wagner, 2012. "Exports, R&D and Productivity: A test of the Bustos-model with German enterprise data," Working Paper Series in Economics 244, University of Lüneburg, Institute of Economics.
  • Handle: RePEc:lue:wpaper:244
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    10. Joachim Wagner, 2016. "International Trade and Firm Performance: A Survey of Empirical Studies since 2006," World Scientific Book Chapters, in: Microeconometrics of International Trade, chapter 2, pages 43-87, World Scientific Publishing Co. Pte. Ltd..
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    Cited by:

    1. Stefano Costa & Federico Sallusti & Claudio Vicarelli & Davide Zurlo, 2022. "Tech on the ROC: export threshold and technology adoption interacted," Small Business Economics, Springer, vol. 59(4), pages 1593-1611, December.
    2. L. Benfratello & A. Bottasso & C. Piccardo, 2022. "R&D and export performance: exploring heterogeneity along the export intensity distribution," Economia e Politica Industriale: Journal of Industrial and Business Economics, Springer;Associazione Amici di Economia e Politica Industriale, vol. 49(2), pages 189-232, June.
    3. Irene Bertschek & Jan Hogrefe & Fabienne Rasel, 2015. "Trade and technology: new evidence on the productivity sorting of firms," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 151(1), pages 53-72, February.
    4. Sánchez, Patricio & Gallego, Elena & Rivero, Dolores & Lago-Peñas, Santiago, 2014. "El impacto de la internacionalización sobre las empresas: Evidencia empírica para el caso español [The impact of internationalization on firms: Empirical evidence for the Spanish case]," MPRA Paper 54602, University Library of Munich, Germany.

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    More about this item

    Keywords

    Exports; R&D; productivity; Germany;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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