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Does trade openness increase firm-level volatility?

Buch, Claudia M. (contributor); Döpke, Jörg (contributor); … - 2006

From a theoretical point of view, greater trade openness affects firm-level volatility by changing the exposure and the … link between openness and volatility. Using two novel datasets on German firms, we analyze the evolution of firm …-level output volatility and the link between volatility and trade openness. We find that firm-level output volatility displays …