Grant support and exporting activity

Holger Görg, Michael Henry, Eric Strobl

Research output: Contribution to journalArticle

Abstract

This paper investigates whether government support can act to increase exporting activity. We use a uniquely rich data set on Irish manufacturing plants and employ an empirical strategy that combines a nonparametric matching procedure with a difference-in-differences estimator in order to deal with the potential selection problem inherent in the analysis. Our results suggest that if grants are large enough, they can encourage already exporting firms to compete more effectively on the international market. However, there is little evidence that grants encourage nonexporters to start exporting.
Original languageEnglish
Pages (from-to)168-174
Number of pages7
JournalReview of economics and statistics
Volume90
Issue number1
DOIs
Publication statusPublished - Feb 2008

Bibliographical note

© 2008 by the President and Fellows of Harvard College and the Massachusetts Institute of Technology

Keywords

  • government support
  • exporting activity
  • nonparametric matching procedure
  • difference-in-differences estimator
  • grants
  • exporting firms
  • international market
  • nonexporters

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