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Working Paper 191 - Do Firms Learn by Exporting or Learn to Export: Evidence from Senegalese Manufacturers’ Plants
International trade benefits the trade parties through exposing countries to the knowledge stocks of their trading partners (Grossman and Helpman 1991). This ‘learning by exporting’ effect may be important at both the country level and at the individual exporting firm level (Jim Love and al., 2010). However, detecting learning by exporting effects at the firm level is by not straightforward. Firm performance is heterogeneous and firms learn from many external as well as internal sources and thus it is not always easy to separate out the learning by exporting effect.