Exporters in Services: A Look at US Exporters Outside of the Manufacturing Sector

Maria Domenica Tito

The World Economy, 2025, vol. 48, issue 6, 1351-1375

Abstract: Using firm‐level transaction data for the United States, this paper presents a series of stylised facts on exporters in services industries, contrasting these findings with those of exporters in manufacturing and for domestic transactions. My results show that most of the basic facts on manufacturing exporters extend to the services sectors with three important differences. First, the export participation rate and export value share of firms in services are much lower than those of manufacturing firms. Second, the assortative patterns across services exporters and their buyers appear stronger than those for manufacturing firms. Third, the survival rate of services exporters tends to be lower than that of manufacturing exporters. Furthermore, I document that domestic relationships between buyers and services firms experience much higher churning than those in the foreign market. These facts are compatible with the hypothesis that firms in services sectors face larger trade costs.

Date: 2025
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