-best production. The longer time needed for export shipments induces a tighter credit constraint on exporters than on purely domestic …

Innovation depends on exporting and, in particular, on scale and competition in export markets. We develop a theory … firm-level data during a period of explosive export growth (2000-2006). Using information about scale and competition by … quality segment in China's export markets, we confirm all four hypotheses. By implication, and unlike in standard CES models …