Participation in Export Markets and Productivity of Plants in Los Angeles, 1987–1997

This article investigates the relationship between the productivity of plants and participation in export markets in the greater Los Angeles area using unpublished plant‐level data from the U.S. Census Bureau's Longitudinal Research Database. Two key questions are examined: (1) do plants that export learn in foreign markets and become more efficient, or (2) do more efficient plants self‐select into export markets? The results support previous claims that more productive plants tend to self‐select into export markets. Little support is found for the learning‐by‐exporting argument. The policy implications of these findings are discussed.