Abstract
ABSTRACT Considering the pivotal role of the software industry in the digital economy, this article investigates the effect of software registration on China’s manufacturing exports from 2000 to 2013 against the backdrop of rapid growth in the digital economy and international trade. Our results indicate a positive association between software registration, a unique proxy for digital economy development, and manufacturing firm exports. This finding remains robust across various tests, including Bartik IV estimation, different estimators, and subsample analyses. Mechanism analysis suggests that software registration may bolster exports by reducing firms’ production and operational costs while mitigating information frictions in international markets, thereby incentivizing firms to expand their export activities to diverse markets. Furthermore, extended analyses reveal heterogeneous impacts across firm ownership, regions, industries, and destinations. Overall, our findings underscore the significant linkage between software registration and firm exports, providing a novel perspective on the digital economy’s influence on international trade.
Published Version
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