Abstract

Certainly, the US Congress walks on a tightrope when it schedules the Export-Import Bank (Exim) financing. Once a tranquil organization, Exim has recently been criticized for its performance in providing concessionary financing to US firms in order to promote exports. The absence of empirical research on the relationship between export financing by Exim and growth in US exports is striking. Numerous specifications, currently, assess that Exim authorizations for loans, guarantees, and insurance, do not affect US exports and are redundant. The use of relevant variables in the regression analysis is proper and consistent. The tests are based on data from the US and 22 OECD countries, 1950–86.

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