This paper explores the links between policy support, export destinations and product quality. Depending on the export industry and target destination (policy support, income level), the theories suggest a competing relationship between policy support and high-income exporting on quality upgrading. Consistent with the notion that policy support only matters when exporting to low-income destinations, empirical results show that policy support improves exporters’ product quality and mitigates the inefficiency of the quality valuation mechanism when exporting to low-income countries, but reduces product quality by distorting the quality valuation mechanism when exporting to high-income countries. These results are robust within different measures of policy support and product quality. Heterogeneity analyses show that the impact of policy support and its relationship with high-income exporting only held for firms with high extensive margins, while foreign ownership and export duration can mitigate the quality reduction impact caused by policy support for high-income exporting.

中文翻译：

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工业计划、出口目的地和产品质量

本文探讨了政策支持、出口目的地和产品质量之间的联系。根据出口行业和目标目的地（政策支持、收入水平），理论表明政策支持与高收入出口在质量升级方面存在竞争关系。与政策支持仅在出口到低收入目的地时才重要的概念一致，实证结果表明，政策支持提高了出口商的产品质量，并减轻了出口到低收入国家时质量评估机制的低效率，但降低了产品质量在向高收入国家出口时扭曲质量评估机制。这些结果在政策支持和产品质量的不同衡量标准中是稳健的。