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Importers, Exporters, and Multinationals: A Portrait of Firms in the U.S. that Trade Goods

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Author Info
Andrew B. Bernard
J. Bradford Jensen
Peter K. Schott

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Abstract

This paper provides an integrated view of globally engaged U.S. firms by exploring a newly developed dataset that links U.S. international trade transactions to longitudinal data on U.S. enterprises. These data permit examination of a number of new dimensions of firm activity, including how many products firms trade, how many countries firms trade with, the characteristics of those countries, the concentration of trade across firms, whether firms transact at arms length or with related parties, and whether firms import as well as export. Firms that trade goods play an important role in the U.S., employing more than a third of the U.S. workforce. We find that the most globally engaged U.S. firms, i.e. those that both export to and import from related parties, dominate U.S. trade flows and employment at trading firms. We also find that firms that begin trading between 1993 and 2000 experience especially rapid employment growth and are a major force in overall job creation.

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Paper provided by National Bureau of Economic Research, Inc in its series NBER Working Papers with number 11404.

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Date of creation: Jun 2005
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Handle: RePEc:nbr:nberwo:11404

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Find related papers by JEL classification:
F10 - International Economics - - Trade - - - General
F16 - International Economics - - Trade - - - Trade and Labor Market Interactions
F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Antràs, Pol & Helpman, Elhanan, 2004. "Global Sourcing," CEPR Discussion Papers 4170, C.E.P.R. Discussion Papers. [Downloadable!] (restricted)
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  2. Andrew B. Bernard, 2004. "Exporting and Productivity in the USA," Oxford Review of Economic Policy, Oxford University Press, vol. 20(3), pages 343-357, Autumn.
  3. Pol Antràs, 2003. "Firms, Contracts, And Trade Structure," The Quarterly Journal of Economics, MIT Press, vol. 118(4), pages 1375-1418, November. [Downloadable!] (restricted)
    Other versions:
  4. Gene M. Grossman & Elhanan Helpman & Adam Szeidl, 2003. "Optimal Integration Strategies for the Multinational Firm," NBER Working Papers 10189, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Hiroyuki Kasahara & Beverly Lapham, 2006. "Import Protection as Export Destruction," University of Western Ontario, RBC Financial Group Economic Policy Research Institute Working Papers 20062, University of Western Ontario, RBC Financial Group Economic Policy Research Institute. [Downloadable!]
    Other versions:
  2. Andrew B. Bernard & J. Bradford Jensen, 2006. "Firm Structure, Multinationals, and Manufacturing Plant Deaths," Peterson Institute Working Paper Series WP06-7, Peterson Institute for International Economics. [Downloadable!]
    Other versions:
  3. Mark Gehlhar & Anita Regmi & Spyro Stefanou & Barry Zoumas, 2006. "Managing Firm Competitiveness in Global Markets," Working Papers 0714, University of Crete, Department of Economics. [Downloadable!]
  4. Marcella Nicolini, 2007. "Institutions and Offshoring Decision," CESifo Working Paper Series CESifo Working Paper No. , CESifo GmbH. [Downloadable!]
  5. Carol Corrado & Paul Lengermann & Larry Slifman, 2007. "The contribution of multinational corporations to U.S. productivity growth, 1977-2000," Finance and Economics Discussion Series 2007-21, Board of Governors of the Federal Reserve System (U.S.). [Downloadable!]
  6. Andrew B. Bernard & J. Bradford Jensen & Peter K. Schott, 2006. "Transfer Pricing by U.S.-Based Multinational Firms," NBER Working Papers 12493, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  7. Andrew Atkeson & Ariel Burstein, 2007. "Innovation, firm dynamics, and international trade," NBER Working Papers 13326, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  8. Behrens, Kristian & Mion, Giordano & Murata, Yasusada & Suedekum, Jens, 2008. "Trade, Wages, and Productivity," IZA Discussion Papers 3682, Institute for the Study of Labor (IZA). [Downloadable!]
    Other versions:
  9. Andrew B. Bernard & Stephen J. Redding & Peter K. Schott, 2006. "Multi-Product Firms and Trade Liberalization," NBER Working Papers 12782, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  10. Pol Antràs & Elhanan Helpman, 2006. "Contractual Frictions and Global Sourcing," NBER Working Papers 12747, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
  11. Kozo Kiyota & Shujiro Urata, 2007. "The Role of Multinational Firms in International Trade: The Case of Japan," Working Papers 560, Research Seminar in International Economics, University of Michigan. [Downloadable!]
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  12. Itai Agur, 2006. "Firm Heterogeneity and the Two Sources of Gains from Trade," Economics Working Papers ECO2006/38, European University Institute. [Downloadable!]
  13. Emek Basker & Pham Hoang Van, 2005. "Putting a Smiley Face on the Dragon: Wal-Mart as Catalyst to U.S.-China Trade," Working Papers 0506, Department of Economics, University of Missouri, revised 07 Oct 2005. [Downloadable!]
  14. Elhanan Helpman & Marc Melitz & Yona Rubinstein, 2007. "Estimating Trade Flows: Trading Partners and Trading Volumes," NBER Working Papers 12927, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
    Other versions:
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