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The impact of the 2004 EU-enlargement on enterprise performance and exports of service enterprises in the German eastern border region

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Author Info
Nils Braakmann () (Institute of Economics, University of Lüneburg)
Alexander Vogel () (Institute of Economics, University of Lüneburg)

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Abstract

We consider the impact of the 2004 EU-enlargement on enterprise performance and the exporting behavior of German service enterprises in Germany’s eastern border region. Our results from regression adjusted difference-in-differences-estimators combined with matching and panel data from official statistics suggest that the EU-enlargement resulted in a decline by circa 1 percent in the turnover and the profitability of large enterprises in the border region, respectively. For small enterprises, we find an annual increase in turnover by 2.7% in both 2004 and 2005 and an annual decrease in profitability by 1.8 and 2.6 percentage points in 2004 and 2005 respectively.

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Paper provided by University of Lüneburg, Institute of Economics in its series Working Paper Series in Economics with number 124.

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Length: 20 pages
Date of creation: Apr 2009
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Handle: RePEc:lue:wpaper:124

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Related research
Keywords: EU-enlargement; enterprise performance; exports;

Find related papers by JEL classification:
F15 - International Economics - - Trade - - - Economic Integration
L80 - Industrial Organization - - Industry Studies: Services - - - General

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  1. Hartmut Egger & Peter Egger, 2002. "How international outsourcing drives up Eastern European wages," Review of World Economics (Weltwirtschaftliches Archiv), Springer, vol. 138(1), pages 83-96, March. [Downloadable!] (restricted)
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This page was last updated on 2009-11-26.

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