Liu, Qing; Lu, Ruosi; Lu, Yi; Luong, Tuan Anh - 2021
This paper investigates whether and how import competition affects firm innovation. Using China’s World Trade … Organization (WTO) accession as a quasi-natural experiment, we find that import competition reduces firm innovation, which is … consistent with the Schumpeterian effect. We also find heterogeneous treatment effects across firm productivity and patent types …