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Firms adjust to differences in market size and demand uncertainty by changing the frequency and size of their export … well as inventory and per shipments costs. Using a cross section of monthly firm-product-destination level French export … uncertainty by reducing their sales and, for a given export volume, by reducing their number of shipments and increasing their …
Persistent link: https://www.econbiz.de/10010338670
Persistent link: https://www.econbiz.de/10013436286
exports to some countries but not to others. We adapt a standard intra-industry trade model with variable export costs (e ….g. transport) and fixed export costs (e.g. market access) to include a TI that is able to pool market access cost. From this …) smaller export markets feature a larger TI share, (iii) the TI share is independent from variable (distance-dependent) export …
Persistent link: https://www.econbiz.de/10011437889
Firms adjust to differences in market size and demand uncertainty by changing the frequency and size of their export … well as inventory and per shipments costs. Using a cross section of monthly firm-product-destination level French export … uncertainty by reducing their sales and, for a given export volume, by reducing their number of shipments and increasing their …
Persistent link: https://www.econbiz.de/10013054497
size of their export shipments. In our inventory model, transportation costs and optimal shipment frequency are determined …-product-destination level French export data we show that, in line with the predictions of the model, firms adjust on both margins for market … convex marginal cost function. Firms adjust to increased uncertainty by reducing their sales and, for a given export volume …
Persistent link: https://www.econbiz.de/10013056484
Why is it that exporter productivity premia (EPP) differ so widely in size? We take this question to the theory and to the data. We derive the sectoral EPP in a standard heterogeneous firms trade model and apply the insights from the model to 13 years of data for all Danish manufacturing firms....
Persistent link: https://www.econbiz.de/10010246063
This paper provides a direct test of how fixed export costs and productivity jointly determine firm-level export … behavior. Using Chilean data, we construct indices of fixed export costs for each industry-region-year triplet and match them … to domestic firms. Our empirical results show that firms facing higher fixed export costs are less likely to export …
Persistent link: https://www.econbiz.de/10010256719
Using firm and industry data, we establish two facts: (i) Uncertainty about demand conditions not only reduces export … of export shares from the most to the least productive incumbents. Greater skewness of the demand distribution and …
Persistent link: https://www.econbiz.de/10011547934
This paper provides evidence that learning about demand is an important driver of firms' dynamics. We present a simple model with Bayesian learning in which firms are uncertain about their idiosyncratic demand parameter in each of the markets they serve, and update their beliefs as noisy...
Persistent link: https://www.econbiz.de/10013023259
We develop a quantitative theoretical model of firm dynamics to analyze key determinants of the elasticity of exports with respect to the exchange rate. The model incorporates mechanisms that determine the firms? capacity to react when the profitability of exports change due to fluctuations in...
Persistent link: https://www.econbiz.de/10012166285