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Domestic Competition Spurs Exports The Indian Example

India's exports nearly tripled in the 1990s. Decomposing export growth shows that it has been driven by incumbent firms rather than the entry of new firms. By using a new panel on Indian firms and estimating a dynamic discrete-choice model of the firm's decision to export, we find evidence...

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Bibliographic Details
Main Author: Poddar, Tushar
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 2004
Series:IMF Working Papers
Subjects:
Exports
Macroeconomics
Transnational Corporations
International Trade
Production
Trade: General
International Business Enterprises
Balance Of Payments
Export Performance
Firm Behavior
International Business
Multinational Firms
Long-term Capital Movements
Multinationals
Investments, Foreign
International Investment
Production And Operations Management
Corporate Finance
Productivity
International Economics
Industrial Productivity
Macroeconomics: Production
Economic Sectors
Exports And Imports
Foreign Direct Investment
Finance
Empirical Studies Of Trade
India
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
Description
Summary:India's exports nearly tripled in the 1990s. Decomposing export growth shows that it has been driven by incumbent firms rather than the entry of new firms. By using a new panel on Indian firms and estimating a dynamic discrete-choice model of the firm's decision to export, we find evidence that economic liberalization has led to greater domestic competition, spurring firm efficiency and increasing Indian firms' competitiveness and ability to export. We show that export growth has been an outcome of local firm innovation which has come about due to increased competitive pressure from FDI entry
Physical Description:29 pages
ISBN:9781451858662

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