Do African manufacturing firms learn from exporting?

This paper uses firm-level panel data for the manufacturing sector in four African countries to estimate the effect of exporting on efficiency. Estimating simultaneously a production function and an export regression that control for unobserved firm effects, it finds both significant efficiency gains from exporting, supporting the learning-by-exporting hypothesis, and evidence for self-selection of more efficient firms into exporting. The evidence of learning-by-exporting suggests that Africa has much to gain from orientating its manufacturing sector towards exporting. (InWent/DÜI)