Productivity, networks, and export performance: evidence from a cross-country fi…rm dataset

Abstract

This paper uses a newly assembled multi-country multi-industry fi…rm-level dataset to test the effect of productivity and networking on the export probability of …firms. Results are in line with the new-new trade theory and with the literature on the information value of networks. Firms are more likely to export if they are more productive, larger, and if they bene…fit from foreign networks (ownership and …financial linkages), domestic networks (chamber of commerce, links to regulation), and communication networks (E-mail, internet). Firms bear a lower probability of exporting if they have state or labor networks. Overall, …firms with better network connections by one standard deviation enjoy a 15% higher probability of exporting.new-new trade theory; export probability