TY - CHAP

T1 - Intra-good trade in Germany

T2 - A first look at the evidence

AU - Wagner, Joachim

PY - 2021/2/25

Y1 - 2021/2/25

N2 - This paper contributes to the literature by using newly released comprehensive transaction level data on all exports and imports to document facts about the amount of intra-good trade-the simultaneous export and import of identical goods by one firm-in Germany. Combined data for trade transactions and for characteristics of a representative large sample of trading firms are then used to report differences between firms that export and import different goods only (inter-good traders) and firms that engage in the simultaneous export and import of identical goods (intra-good traders). We find that the share of intra-good trade in total trade was some 17 percent in Germany in 2012. Intra-good trade matters. This share differs widely between broadly defined groups of goods and between industries. Controlling for detailed industry affiliation intra-good traders differ significantly from inter-good traders-they are larger, more human capital intensive, more productive, have a higher R&D intensity, and are more profitable. The data, however, are not rich enough to reveal the direction of causality between intra-good trade and firm performance and to investigate empirically the reasons why some firms engage in intra-good trade.

AB - This paper contributes to the literature by using newly released comprehensive transaction level data on all exports and imports to document facts about the amount of intra-good trade-the simultaneous export and import of identical goods by one firm-in Germany. Combined data for trade transactions and for characteristics of a representative large sample of trading firms are then used to report differences between firms that export and import different goods only (inter-good traders) and firms that engage in the simultaneous export and import of identical goods (intra-good traders). We find that the share of intra-good trade in total trade was some 17 percent in Germany in 2012. Intra-good trade matters. This share differs widely between broadly defined groups of goods and between industries. Controlling for detailed industry affiliation intra-good traders differ significantly from inter-good traders-they are larger, more human capital intensive, more productive, have a higher R&D intensity, and are more profitable. The data, however, are not rich enough to reveal the direction of causality between intra-good trade and firm performance and to investigate empirically the reasons why some firms engage in intra-good trade.

KW - Exports

KW - Germany

KW - Imports

KW - Intra-product trade

KW - Two-way trade

KW - Economics

UR - http://www.scopus.com/inward/record.url?scp=85109685177&partnerID=8YFLogxK

UR - https://www.mendeley.com/catalogue/08532151-b92d-348d-8c95-495725f882e3/

U2 - 10.1142/9781786349699_0019

DO - 10.1142/9781786349699_0019

M3 - Chapter

AN - SCOPUS:85109685177

SN - 9781786349682

SP - 339

EP - 357

BT - Microeconometric Studies Of Firms Imports And Exports

A2 - Wagner, Joachim

PB - World Scientific Publishing Co.

ER -