Foreign Ownership and Firm Survival:First Evidence for Enterprises in Germany

This paper documents the relationship between foreign ownership and firm survival forenterprises in Germany using unique tailor-made new representative data that mergeinformation from surveys performed by the Statistical Offices, from administrative datacollected by the Tax Authorities and from a commercial data provider. It contributes to theliterature by providing the first evidence on the role of foreign ownership for firm survival inGermany, one of the most important destination countries for foreign direct investments. Ourmicro-econometric analysis reveals a ceteris paribus higher risk of exit for foreign ownedfirms in West Germany but not in East Germany....