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Arijit Mukherjee
''Firm-productivity and export under non-constant marginal costs''
( 2017, Vol. 37 No.2 )
Recent theoretical research shows that exporters are more productive than non-exporters. We show that this result holds almost trivially for the case of a constant marginal cost of production, as mainly assumed in the literature, but it may not hold true if the marginal cost is not constant. Our result provides a simple explanation for recent empirical evidence showing exporters can be less productive than non-exporters.
Keywords: Export; Non-constant marginal cost of production; Productivity
JEL: F1 - Trade: General
Manuscript Received : Feb 17 2016 Manuscript Accepted : May 01 2017

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