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Still standing: how European firms weathered the crisis - The third EFIGE policy report

Author

Listed:
  • Gábor Békés
  • László Halpern
  • Miklós Koren
  • Balázs Muraközy

Abstract

This research output confirms the strength of the approach underpinning the EFIGE project, which is based on the recognition that firms are heterogeneous in the extent and the pattern of their internationalisation, as they are in many other respects. The project provides more, and more precise, evidence of what makes firms successful and therefore also what makes countries successful in the context of globalisation. Internationalisation, however, also makes firms vulnerable to shocks affecting international trade and may transform them into agents of propagation of global downturns. At the time of the Great Recession of 2009, there was intense speculation about the reasons why trade collapsed much more than output. It was sometimes claimed that global supply chains were not only propagators, but also multipliers of international fluctuations. This report by László Halpern and his colleagues makes use of the fact that the EFIGE survey was – by accident – conducted in 2009 and – by design – included questions about the firms’ response to the global crisis. It provides a fascinating account of what happened to them in an especially turbulent environment. The stylised facts presented in this report are important to bear in mind at a time when Europe is heading for another severe downturn.

Suggested Citation

  • Gábor Békés & László Halpern & Miklós Koren & Balázs Muraközy, . "Still standing: how European firms weathered the crisis - The third EFIGE policy report," Blueprints, Bruegel, number 661, November.
  • Handle: RePEc:bre:bluprt:661
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    File URL: http://bruegel.org/wp-content/uploads/imported/publications/Blueprint_15_EFIGE.pdf
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    References listed on IDEAS

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    Cited by:

    1. Xifré, Ramon, 2014. "The Competitiveness of the Spanish Economy -- A Bird's-eye View on the Four Largest Euro Area Economies," IESE Research Papers D/1088, IESE Business School.
    2. Damiani, Mirella & Ricci, Andrea, 2016. "Training, quality of management and firm level bargaining," MPRA Paper 72209, University Library of Munich, Germany.
    3. Damiani, Mirella & Ricci, Andrea, 2016. "Training, quality of management and firm level bargaining," MPRA Paper 72138, University Library of Munich, Germany.
    4. Francesca Barbiero & Michael Blanga-Gubbay & Valeria Cipollone & Koen De Backer & Sébastien Miroudot & Alexandros Ragoussis & André Sapir & Reinhilde Veugelers & Erkki Vihriälä & Guntram B. Wolff & Ge, . "Manufacturing Europe’s future," Blueprints, Bruegel, number 795.
    5. Békés, Gábor & Halpern, László & Muraközy, Balázs, 2013. "Külkereskedelem és a vállalatok közötti különbségek
      [Heterogeneous firms and foreign trade]
      ," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(1), pages 1-24.
    6. Neil Foster & Roman Stöllinger & Carlo Altomonte & Richard Kneller, 2012. "The Trade-Productivity Nexus in the European Economy," FIW Specials series 005, FIW.

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