This paper documents for the first time the relationship between profitability and three typesof international trade activities – exports, imports and two-way trade. It uses unique newrepresentative data for manufacturing enterprises from Germany, one of the leading actorson the world market...

This study reports results from an empirical investigation of business services sector firmsthat (start to) export, comparing exporters to firms that serve the national market only. Weestimate identically specified empirical models using comparable enterprise level data fromFrance, Germany, and...

An emerging literature on international activities of heterogeneous firms documents thatexporting firms are more productive than firms that only sell on the national market. Thispositive exporter productivity premium shows up in a large number of empirical studies aftercontrolling for observed...

This paper uses an oligopoly model with heterogeneous firms to examine how an industryadjusts to rising import competition. The model predicts that in the short run the least efficientfirms in the industry become inactive, surviving firms face a fall in output, mark-ups andprofits, and the...