Firm heterogeneity, sunk costs, spatial characteristics and export market participation: Evidence from China

Jingtao Yi

12 citations0/0 files storedJournal of International Trade & Economic Development

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Global trade and economics International Business and FDI Economic and Technological Innovation

Abstract

This paper develops a dynamic discrete-choice model to analyze the exporting decisions of Chinese firms in Zhejiang province. The results show that sunk costs are found to be significant and prior export experience, productivity, scale, FDI, export spillovers, coastal area and economic zones are all positively related with the propensity of exporting while state ownership concentration has a negative impact. The export behavior of firms varies with country-specific characteristics.

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References

1972Conditional logit analysis of qualitative choice behavior 2003The Impact of Trade on Intra-Industry Reallocations and Aggregate Industry Productivity 1986Large Shareholders and Corporate Control 1988Management ownership and market valuation 2003Estimating Production Functions Using Inputs to Control for Unobservables 2000The Spatial Economy: Cities, Regions, and International Trade 1999Exceptional exporter performance: cause, effect, or both?2003Plants and Productivity in International Trade

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