While exports have played an important role in German business cycles, little is known about the export supply response of German firms. This paper presents a dynamic model of the export decision by a profit-maximizing firm. Using a panel of German manufacturing plants, we test for the role of...

This paper uses an unbalanced panel data set for exporting firms from manufacturing industries in one German Federal state, Lower Saxony, to investigate the microstructure of the recent export boom. Looking at data for 1995/96 - 2001/2002 it is demonstrated that a considerable number of plants...