English, Article, Journal or magazine article edition: Causal Link between Exporting and Innovation Activity. Evidence from Slovenian Firms Kostevc, Crt; Damijan, Jože

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Bookmark: http://trove.nla.gov.au/version/89302
Physical Description
  • preprint
Language
  • English

Edition details

Title
  • Causal Link between Exporting and Innovation Activity. Evidence from Slovenian Firms
Author
  • Kostevc, Crt
  • Damijan, Jože
Physical Description
  • preprint
Notes
  • In this paper we investigate the causal relationship between firm's innovation and exporting activity by using detailed firm-level data on innovation activity, financial variables and information on trade for Slovenian firms in 1996-2002. We employ the bivariate probit regression on a system of innovation and exporting equations as well as matching procedures to tease out the direction of causality between exporting status and innovation activity. Our results suggest a strong positive relationship between exporting and innovation activity in both directions, while results on the impacts of lagged export (or innovation) status on the probability to start innovat- ing (or exporting) are less conclusive. In other words, whereby innovating status increases the probability of exporting it does not increase the probability of becom- ing a first time exporter, and vice versa. The results remain unaltered also after allowing for discrimination between product and process innovation.
  • DYNREG, firm heterogeneity, innovation, exporting, matching
  • RePEc:esr:wpaper:dynreg22
Language
  • English
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