Dynamic Learning by Importing: New Insights Using the Local Projections Approach and Matching Techniques

Abstract

ABSTRACT We study the dynamic effect of learning by importing on the productivity of Ecuadorian manufacturing firms that start to import intermediate inputs. To this end, we apply the local projections methodology to firm‐level data combined with matching techniques. Our results suggest that there are cumulative productivity gains from starting to import and therefore contribute to the debate on the importance of policy intervention to foster the entry into international markets.