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Active on Many Foreign Markets: A Portrait of German Multi-market Exporters and Importers from Manufacturing Industries

Author

Listed:
  • Wagner Joachim

    (Leuphana University Lueneburg, D-21314Lueneburg, Germany)

Abstract

This paper uses information on more than 160 million export and import transactions by German firms from 2009 to 2012 to document the decisive role of multi-market traders that are active on many foreign markets, where a market is defined as a combination of a good traded and a country traded with. Using merged information from trade transactions and from surveys conducted by the statistical offices it is shown that, controlling for detailed industry affiliation, the number of foreign markets a firm from manufacturing industries is active on as an exporter or importer is higher in firms that are larger, older and foreign owned and that have higher labor productivity, human capital intensity and R&D intensity. With the exception of labor productivity these results are valid ceteris paribus, too. All these results from a descriptive empirical investigation are in line with hypotheses that are derived from the literature on the links between firm characteristics and the extensive margins of foreign trade.

Suggested Citation

  • Wagner Joachim, 2018. "Active on Many Foreign Markets: A Portrait of German Multi-market Exporters and Importers from Manufacturing Industries," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 238(2), pages 157-182, April.
    • Handle: RePEc:jns:jbstat:v:238:y:2018:i:2:p:157-182:n:13
    DOI: 10.1515/jbnst-2017-0123
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    Cited by:

    1. Matthias Fauth & Benjamin Jung & Wilhelm Kohler, 2023. "German Firms in International Trade: Evidence from Recent Microdata," CESifo Working Paper Series 10523, CESifo.
    2. Joachim Wagner, 2017. "It pays to be active on many foreign markets Profitability in German multi-market exporters and importers from manufacturing industries," Working Paper Series in Economics 373, University of Lüneburg, Institute of Economics.
    3. Fauth Matthias & Jung Benjamin & Kohler Wilhelm, 2023. "German Firms in International Trade: Evidence from Recent Microdata," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 243(3-4), pages 199-284, June.
    4. Krenz, Astrid, 2019. "The gender gap in international trade: Female-run firms and the exporter productivity premium," University of Göttingen Working Papers in Economics 368, University of Goettingen, Department of Economics.
    5. Wagner Joachim, 2019. "Does It Pay to Be Active on Many Foreign Markets? Profitability in German Multi-Market Exporters and Importers from Manufacturing Industries," Review of Economics, De Gruyter, vol. 70(1), pages 1-13, April.
    6. Joachim Wagner, 2019. "Export Scope and Characteristics of Destination Countries: Evidence from German Transaction Data," Working Paper Series in Economics 385, University of Lüneburg, Institute of Economics.

    More about this item

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    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade

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