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'Distance from the core' and new export survival: Evidence from Chilean exporters

Author

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  • Daniel Goya
  • Andrés Zahler

Abstract

An important part of aggregate export growth is due to firms adding new varieties to their export baskets. We contribute to the literature on export flow survival by showing that a measure of the 'distance' between a new export and the previous export basket is a significant determinant of the survival of a new firm-product export flow. We present evidence suggesting that the measure we use is a good proxy for the theoretical 'distance from the core' in Eckel and Neary (2010), and that it is capturing technological, rather than demand complementarities across products.

Suggested Citation

  • Daniel Goya & Andrés Zahler, 2017. "'Distance from the core' and new export survival: Evidence from Chilean exporters," Working Papers 2017-01, Escuela de Negocios y Economía, Pontificia Universidad Católica de Valparaíso.
    • Handle: RePEc:ucv:wpaper:2017-01
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    File URL: http://ene.pucv.cl/wp/2017/Goya_Zahler_survival.pdf
    File Function: First version, 2017
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    Citations

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    Cited by:

    1. Martina Lawless & Zuzanna Studnicka, 2024. "Old Firms and New Export Flows: Does Experience Increase Survival?," Open Economies Review, Springer, vol. 35(2), pages 215-243, April.
    2. Cilem Selin Hazir & Flora Bellone & Cyrielle Gaglio, 2019. "Local product space and firm-level churning in exported products," Industrial and Corporate Change, Oxford University Press and the Associazione ICC, vol. 28(6), pages 1473-1496.
    3. Martina Lawless & Zuzanna Studnicka, 2018. "Old Firms and New Products: Does Experience Increase Survival?," Working Papers 201805, School of Economics, University College Dublin.
    4. repec:hal:spmain:info:hdl:2441/1f59r6ssre9eiqb2rso9ui50m2 is not listed on IDEAS
    5. Daniel Goya, 2019. "Chinese competition and network effects on the extensive margin," Working Papers 2019-01, Escuela de Negocios y Economía, Pontificia Universidad Católica de Valparaíso.
    6. repec:spo:wpmain:info:hdl:2441/1f59r6ssre9eiqb2rso9ui50m2 is not listed on IDEAS

    More about this item

    Keywords

    Export diversification; extensive margin; export survival; product proximity.;
    All these keywords.

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • L25 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Performance
    • O30 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - General

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