Felbermayr, Gabriel; Prat, Julien; Schmerer, Hans-Jörg - Forschungsinstitut zur Zukunft der Arbeit <Bonn> - 2008
). Equating marginal revenues across markets therefore yields pX(ϕ) = τpD(ϕ) and qX(ϕ) =
τ1−σqD(ϕ), where D and X denote the … production. Similarly, firms with a productivity level between ϕ∗D and ϕ∗X
will serve only their domestic market. The share of … exporting firms is therefore equal to rho1 ≡
[1−G(ϕ∗X)]/[1−G(ϕ∗D)]. The average level of productivity of intermediate input …