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Joachim Wagner
 
''Exports, R&D and productivity: a test of the Bustos-model with German enterprise data''
( 2012, Vol. 32 No.3 )
 
 
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.
 
 
Keywords: Exports, R&D, productivity, Germany
JEL: F1 - Trade: General
L6 - Industry Studies: Manufacturing: General
 
Manuscript Received : Jun 26 2012 Manuscript Accepted : Jul 16 2012

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