Regional export promotion offices and trade margins

1. Gil Pareja, Salvador
2. Llorca Vivero, Rafael
3. Martínez Serrano, José Antonio
4. Requena Silvente, Francisco

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Abstract

This paper investigates the channels through which Spanish regional export promotion offices (REPOs) abroad affect bilateral exports. Using transaction data per product over the period 1993-2010, we decompose the total impact of REPOs on exports value into three margins: number of products, number of firm transactions per product and average value per transaction. We find that the export-enhancing effect of REPOs takes place mainly through an increase in the first two margins. Moreover, we also find that the pro-trade effect of REPOs is larger for more differentiated products, for non-EU destinations and is increasing with the age of the offices.

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