The recent microeconomic literature on international trade has highlighted the importance of firm characteristics and trade costs for exports. This study provides evidence on one type of those costs, the costs of doing business overseas, from a theoretical and empirical perspective. Controlling...

The recent micro economic literature concerning exports has highlighted the importance of firms characteristics and trade costs for export decisions. Although the presence of trade costs (i.e. sunk and variable costs) are essential to describe the different export choices firms with different...