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Credit constraints and exports: Evidence for German manufacturing enterprises

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  • Wagner, Joachim

    () (Leuphana University, Lueneburg and CESIS, Stockholm)

Abstract

This study uses newly available enterprise level data for firms from manufacturing industries in Germany to test for the link between credit constraints, measured by a credit rating score from the leading credit rating agency Creditreform, and exports. In line with hypotheses from theoretical model we find a positive link between a better credit rating score of a firm and both the probability that the firm is an exporter and a higher share of exports in total sales. This link, though statistically highly significant, is not very strong from an economic point of view. While empirical evidence for the hypothesis that credit constrained firms are less likely to start to export is at best weak, we find no evidence for a statistically significant difference in credit rating scores between firms that stopped to export and firms that continued to export.

Suggested Citation

  • Wagner, Joachim, 2012. "Credit constraints and exports: Evidence for German manufacturing enterprises," Working Paper Series in Economics and Institutions of Innovation 286, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
  • Handle: RePEc:hhs:cesisp:0286
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    References listed on IDEAS

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    Citations

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    Cited by:

    1. Joachim Wagner, 2015. "Credit constraints and margins of import: first evidence for German manufacturing enterprises," Applied Economics, Taylor & Francis Journals, vol. 47(5), pages 415-430, January.
    2. Wagner, Joachim & Gelübcke, John P. Weche, 2013. "Credit Constraints, Foreign Ownership, and Foreign Takeovers in Germany," Working Paper Series in Economics and Institutions of Innovation 329, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    3. Hans Lööf & Pardis Nabavi, 2016. "Innovation and credit constraints: evidence from Swedish exporting firms," Economics of Innovation and New Technology, Taylor & Francis Journals, vol. 25(3), pages 269-282, April.
    4. Lööf, Hans & Nabavi , Pardis, 2014. "How to Persistently Finance Innovation: A Panel-Data Study on Exporting Firms in Sweden," Working Paper Series in Economics and Institutions of Innovation 346, Royal Institute of Technology, CESIS - Centre of Excellence for Science and Innovation Studies.
    5. repec:eco:journ1:2018-01-22 is not listed on IDEAS
    6. Joachim Wagner, 2014. "Credit constraints and exports: a survey of empirical studies using firm-level data," Industrial and Corporate Change, Oxford University Press, vol. 23(6), pages 1477-1492.
    7. repec:bla:worlde:v:40:y:2017:i:11:p:2328-2353 is not listed on IDEAS
    8. Joachim Wagner, 2015. "Kombinierte Firmenpaneldaten – Datenangebot und Analysepotenziale," Working Paper Series in Economics 340, University of Lüneburg, Institute of Economics.
    9. Joachim Wagner & John P. Weche Gelübcke, 2015. "Access to finance, foreign ownership and foreign takeovers in Germany," Applied Economics, Taylor & Francis Journals, vol. 47(29), pages 3092-3112, June.
    10. Serap Coban, 2015. "Does the Financial Development Spur Export Performance? Evidence from Turkish Firm-Level Data," International Journal of Economics and Financial Issues, Econjournals, vol. 5(2), pages 434-440.
    11. Murphy, Gavin & Siedschlag, Iulia, 2016. "Exporting under Financing Constraints: Firm-level Evidence from EU Countries," Papers WP530, Economic and Social Research Institute (ESRI).
    12. Adriana Peluffo, 2016. "The role of investments in export growth," Small Business Economics, Springer, vol. 47(1), pages 115-137, June.

    More about this item

    Keywords

    Credit constraints; exports; Germany;

    JEL classification:

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

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