Publication: Exporter Dynamics and Partial-Year Effects

Thumbnail Image
Files in English
English PDF (644.13 KB)
516 downloads
Date
2017-10
ISSN
0002-8282
Published
2017-10
Author(s)
Bernard, Andrew B.
Boler, Esther Ann
Massari, Renzo
Reyes, Jose-Daniel
Abstract
Two identical firms who start exporting in different months, one each in January and December, will report dramatically different exports for the first calendar year. This partial-year effect biases down first-year export levels and biases up first-year export growth rates. For Peruvian exporters, the partial-year bias is large: first-year export levels are understated by 54 percent and the first-year growth rate is overstated by 112 percentage points. Correcting the partial-year effect dramatically reduces first-year export growth rates, raises initial export levels, and almost doubles the contribution of net firm entry and exit to overall export growth.
Report Series
Other publications in this report series
Journal
Journal Volume
Journal Issue
Associated URLs
Citations