are widened by uncertainty. Our econometric model for six euro area countries suggests domestic demand and capacity … regression model and find that domestic demand developments and uncertainty are relevant for short-run export dynamics …, our empirical results are robust to the inclusion of a variable measuring European policy uncertainty. In some cases …

production period the firm makes its order, production and pricing choices under successively reduced uncertainty. The model … good state of nature. Further, we investigate situations of greater uncertainty and find a more nuanced explanation of firm … either raise or reduce its order size depending on the demand elasticity and the relative demand uncertainty. Intuitively …