Import competition and firm innovation: Evidence from China

• 成果类型: Article
• 署名作者: Liu, Qing; Lu, Ruosi; Lu, Yi; Tuan Anh Luong
• 署名单位: Renmin University of China; University of International Business & Economics; Tsinghua University; Tsinghua University; De Montfort University
• 刊物名称: JOURNAL OF DEVELOPMENT ECONOMICS
• ISSN/ISSBN: 0304-3878
• DOI: 10.1016/j.jdeveco.2021.102650
• 发表日期: 2021
• 关键词: import competition; Firm innovation; Schumpeterian effect; Spillover effect; Preference effect; Escape-competition effect; Trapped-factor effect

摘要

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 in a way consistent with preference and knowledge spillover effects, but not with escape-competition and trapped-factor effects.