Learning-by-doing, learning-by-exporting, and productivity : evidence from Colombia, Vol. 1 of 1

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Learning-by-doing, learning-by-exporting, and productivity : evidence from Colombia

Author:	Fernandes, Ana M.; Isgut, Alberto E.;	Collection Title:	Policy, Research working paper ; no. WPS 3544
Country:	Colombia;	Date Stored:	2005/03/24
Document Date:	2005/03/01	Document Type:	Policy Research Working Paper
Language:	English	Region:	Latin America & Caribbean
Report Number:	WPS3544	SubTopics:	Environmental Economics & Policies; Scientific Research & Science Parks; Economic Theory & Research; Banks & Banking Reform; Educational Sciences
Volume No:	1 of 1

Summary: The empirical evidence on whether participation in export markets increases plant-level productivity has been inconclusive so far. The authors explain this inconclusiveness by drawing on Arrow's (1962) characterization of learning-by-doing, which suggests focusing on young plants and using measures of export experience rather than export participation. They find strong evidence of learning-by-exporting for young Colombian manufacturing plants between 1981 and 1991: total factor productivity increases 4-5 percent for each additional year a plant has exported, after controlling for the effect of current exports on total factor productivity. Learning-by-exporting is more important for young than for old plants and in industries that deliver a larger percentage of their exports to high-income countries.


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