State governments use economic development programs to strengthen the economic bases of their states, increase tax revenues, and preserve and increase job opportunities. Export promotion organizations are a key element of these programs. This article attempts to partially address the lack of evaluative literature regarding the effectiveness of export promotion programs by providing an analysis of the relationship between state appropriations and export-related employment in manufacturing. The findings support the suggestion that state appropriations for export promotion result in higher employment for firms that are directly involved in exporting their products overseas. No evidence is found of a relationship between appropriations and employment in firms that produce the components of export products.
Get full access to this article
View all access options for this article.
References
1.
Armington, C. (1986). The changing geography of high-technology businesses. In John Rees (Ed.), Technology, regions, and policy (pp. 75-93). Lanham, MD: Rowan and Littlefield.
2.
Bartik, T. J. (1991). Who benefits from state and local economic development policies?Kalamazoo, MI: W.E. Upjohn Institute for Employment Research.
3.
Browne, L. E. , Mieszkowski, P., & Syron, R.F. (1980). Regional investment patterns. New England Economic Review, 4, 5-23.
4.
Cavusgil, S. T. , & Naor, N.1987. Firm and management characteristics as discriminators of export marketing activity. Journal of Business Research, 15(3), 221-235.
5.
Coughlin, C. C. (1988). The competitive nature of state spending on the promotion of manufacturing exports. Federal Reserve Bank of St. Louis, 70(3), 34-42.
6.
Coughlin, C. C. , & Cartwright, P. A. (1987a). An examination of state foreign export promotion and manufacturing exports. Journal of Regional Science, 27, 439-449.
7.
Coughlin, C. C. , & Cartwright, P. A. (1987b). An examination of state foreign export promotion and manufacturing export employment. Economic Development Quarterly, 1(3), 257-267.
8.
Crutsinger, M. (1995, July 14). Study: Employees earn better perks at export firms. The Idaho Statesman, p. B1.
9.
Denis, J. E. , & Depelteau, D. (1985). Market knowledge, diversification, and export expansion. Journal of International Business Studies, 16(3), 77-90.
10.
Kotabe, M. , & Czinkota, M. (1992). State government promotion of manufacturing exports: A gap analysis. Journal of International Business Studies, 23(4), 637-658.
11.
Kudrle, R. T. , & Kite, C. M. (1989). The evaluation of state programs for international business development. Economic Development Quarterly, 3(4), 288-300.
12.
Lewis-Beck, M. S. (1980). Applied regression: An introduction. Beverly Hills, CA: Sage.
13.
Mahone, C. E., Jr. (1994). Penetrating export markets: The role of firm size. Journal of Global Marketing, 7(3), 133-148.
14.
Markusen, A. , Hall, P., & Glasmeier, A. (1986). High-tech America: The what, how, where, and why of the Sunrise Industries. Boston: Allen & Unwin.
15.
National Association of State Development Agencies (NASDA) . (1992). State export program database 1992. Washington, DC: Author.
16.
Northdurft, W. E. (1992, August). The export game. Governing, 57-61.
17.
Olson, H. (1975). Studies in export promotion: Attempts to evaluate export stimulation measures for the Swedish textiles and clothing industries. Uppsala, Sweden: Acta Universitatis Upsaliensis, Studia Oeconomiae Negotorium 10.
18.
Park, R. E. (1966, October). Estimation with heteroscedastic error terms. Econometrica, 888.
19.
Pindyck, R. S. , & Rubinfeld, D. L. (1981). Econometric models and economic forecasts. New York: McGraw-Hill.
20.
Pointon, T. (1978). Measuring the gains from government export promotion. European Journal of Marketing, 12(6), 451-462.
21.
Reid, S. (1984). Information acquisition and export entry decisions in small firms. Journal of Business Research, 12(2), 141-158.
22.
Schmandt, J. (1991). Regional technology policy: A new role for the American states. In U. Hilpert (Ed.), Regional innovation and decentralization: High-tech industry and government policy (pp. 157-176). New York: Routledge.
23.
Seringhaus, F. H. (1986, Summer). The impact of government export marketing assistance. International Marketing Review, 55-66.
24.
Seringhaus, F. H. , & Rosson, P. J. (1989). Government export promotion: A global perspective. New York: Routledge.
25.
Seringhaus, F. H. , & Rosson, P. J. (1991). Export development and promotion: The role of public organizations. Boston: Kluwer.
26.
Simpson, C. , & Kujawa, D. (1974). The export decision process: An empirical inquiry. Journal of International Business Studies, 5(1), 107-117.
27.
Singer, T. O. (1990). The role of export promotion in export management: The case of the Minnesota trade office. Unpublished doctoral dissertation, George Washington University, Washington, DC.
28.
Studenmund, A. H. (1992). Using econometrics: A practical guide (2nd ed.). New York: HarperCollins.
29.
U.S. Department of Commerce, Bureau of the Census . (1994). Exports from manufacturing establishments: 1990 and 1991 (Manufacturing Analytical Report Series). Washington, DC: Author.
30.
U.S. Department of Commerce, Bureau of the Census . (1998). Summary of U.S. export and import merchandise trade. (Series FT 900). Washington, DC: Author.
31.
U.S. Department of Commerce, International Trade Administration . (1992). A basic guide to exporting. Washington, DC: Author.
32.
Walters, P. (1983). Export information sources—a study of their usage and utility. International Marketing Review, 1(1), 34-43.
33.
Wilkinson, T. , & Brouthers, L. (in press). An evaluation of state sponsored export promotion programs. Journal of Business Research.
34.
Yaprak, A. (1990). Behavioral correlates of export marketing: Findings from a Michigan survey. In T. S. Cavusgil & M. R. Czinkota (Eds.), International perspectives on trade promotion and assistance (pp. 207-219). Westport, CT: Greenwood.
