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

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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.
Original languageEnglish
JournalJahrbücher für Nationalökonomie und Statistik
Volume236
Issue number2
Pages (from-to)297 - 322
Number of pages26
ISSN0021-4027
DOIs
Publication statusPublished - 01.03.2016

    Research areas

  • Economics - Export Margins, East germany, West Germany, decomposition analysis

DOI

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