We examine the dynamics of corporate investment in Germany during the 2000s, a period marked by stagnant macroeconomic … investment spending. Employing a mixed-methods approach, we explore investment trends across national accounts data, firm …-level financials, and responses from financial executives through our financial strategy survey. We show that while tangible investment …

countries imported from) and firm profitability. While both extensive margins are highly positively linked with firm …

the profitability of the exporting firms on the other hand. We find that profits tend to be larger in firms with less …