Exports, R&D and productivity in German business services firms: A test of the bustos-model

Research output: Contributions to collected editions/worksChapterpeer-review

Authors

This paper uses newly available data for German business services firms to test 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 firms from manufacturing industries. The model, therefore, seems to be useful to guide empirical work on the relation between exports, R&D and productivity for services firms, too.

Original languageEnglish
Title of host publicationMicroeconometric Studies Of Firms Imports And Exports : Advanced Methods Of Analysis And Evidence From German Enterprises
EditorsJoachim Wagner
Number of pages7
PublisherWorld Scientific Publishing Co.
Publication date25.02.2021
Pages287-293
ISBN (print)9781786349682
ISBN (electronic)9781786349705
DOIs
Publication statusPublished - 25.02.2021

    Research areas

  • Business services firms, Exports, Germany, Productivity, R and D
  • Economics