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Still Different After All These Years Extensive and Intensive Margins of Exports in East and West German Manufacturing Enterprises

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  • Wagner Joachim

    (Institute of Economics, Leuphana University, PO Box 2440, D-21314, Lueneburg, Germany and CESIS, KTH Stockholm, Sweden)

Abstract

This paper uses a new tailor-made data set to investigate the differences in extensive and intensive margins of exports in manufacturing firms from East Germany and West Germany. It documents that these margins do still differ in 2010, 20 years after the re-unification of Germany. West German firms outperform East German firms at all four margins of exports – they have a larger propensity to export, export a larger share of total sales, export more goods and export to a larger number of countries. All these differences are large from an economic point of view. A decomposition analysis shows that in 2010 between 59 percent and 78 percent of the difference in margins can be explained by differences in firm characteristics.

Suggested Citation

  • Wagner Joachim, 2016. "Still Different After All These Years Extensive and Intensive Margins of Exports in East and West German Manufacturing Enterprises," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 236(2), pages 297-322, March.
    • Handle: RePEc:jns:jbstat:v:236:y:2016:i:1:p:276-297
    DOI: 10.1515/jbnst-2015-1011
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    1. Horst Raff & Joachim Wagner, 2014. "Foreign Ownership and the Extensive Margins of Exports: Evidence for Manufacturing Enterprises in Germany," The World Economy, Wiley Blackwell, vol. 37(5), pages 579-591, May.
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    Cited by:

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    2. João Amador & Luca David Opromolla, 2017. "Trade Margins and Cohorts of Traders in Portugal," Economic Bulletin and Financial Stability Report Articles and Banco de Portugal Economic Studies, Banco de Portugal, Economics and Research Department.
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    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. Pfeifer Christian & Smolny Werner & Wagner Joachim, 2016. "25 Years of German Reunification," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 236(2), pages 153-155, March.

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    More about this item

    Keywords

    Export margins; East Germany; West Germany; decomposition analysis;
    All these keywords.

    JEL classification:

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

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