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This paper develops an empirical model of consumer taste in twenty-nine Belgium food industries for the period from 1998-2005 to generate a "taste distance" measure of over 1,800 firm-product exports to 53 country destinations. We estimate consumer taste using a control function approach and...
Persistent link: https://www.econbiz.de/10013494393
-distributed firm productivity and fixed costs of exporting, predicts that, conditional on the fixed costs of exporting, all variation … of firm productivity allows the Melitz model to successfully match the role of the intensive margin evident in the EDD … estimate a generalized Melitz model with a joint lognormal distribution for firm productivity, fixed costs and demand shifters …
Persistent link: https://www.econbiz.de/10011983639
In this paper, we zoom in on the firm level of German merchandise foreign trade, using a novel data base with information on the export and import value by firm, country, product and year for the period 2011-2019. Problems arising from the consolidated reporting of taxable entities and the...
Persistent link: https://www.econbiz.de/10014306801
This paper examines the relationship between the credit constraints faced by a firm and the unit value prices of its exports. The paper modifies Arkolakisś (2010) model of trade with heterogeneous firms by introducing endogenous quality and credit constraints. The model predicts that tighter...
Persistent link: https://www.econbiz.de/10009786048
Recent theoretical research shows that exporters are more productive than nonexporters. We show that this result holds almost trivially for the case of constant marginal cost of production, as mainly assumed in the literature, but it may not hold true if the marginal cost is not constant. Our...
Persistent link: https://www.econbiz.de/10011432543
This paper documents the importance of consumer taste in trade flows using Belgian firm-product customs data by destination. We identify consumer taste through the use of a control function approach and estimate it jointly with other demand parameters using a very flexible demand specification....
Persistent link: https://www.econbiz.de/10011992287
' management competency is associated with a 7.5 percent improvement in sales productivity and a 29.2 increase in profitability …
Persistent link: https://www.econbiz.de/10014477795
During the early 1990s Germany received over half a million Yugoslavian refugees fleeing war. By 2000, many of these refugees, who were under temporary protection, had been repatriated. We exploit this historical episode to provide causal evidence on the role that migrants play explaining export...
Persistent link: https://www.econbiz.de/10011933941
This paper studies how learning from neighboring firms affects new exporters' performance and dynamics. We develop a statistical decision model in which a firm updates its prior belief about demand of a foreign market based on the number of neighbors currently selling there, the level and...
Persistent link: https://www.econbiz.de/10010256701
This paper provides a direct test of how fixed export costs and productivity jointly determine firm-level export …, while those with higher productivity export more. These outcomes are the foundation of the widely-used sorting mechanism in … the trade models with firm heterogeneity. A particular and novel finding is that high-productivity nonexporters face …
Persistent link: https://www.econbiz.de/10010256719