Trade Liberalization and New Exporters’ Size: Theory and Evidence
Virginia Di Nino, Rosen Marinov, Nadia Rocha
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Virginia Di Nino, Rosen Marinov, Nadia Rocha: IUHEI, The Graduate Institute of International Studies, Geneva
Authors registered in the RePEc Author Service: Virginia Di Nino (),
Nadia Rocha and
Rosen Marinov ()
No 19-2006, IHEID Working Papers from Economics Section, The Graduate Institute of International Studies
This paper tests an empirical implication of Melitz (2003) in the context of falling trade costs, using the EU’s intensive liberalization phase (1993-2002) as a natural experiment. Contrary to the model’s predictions, firms that switch from non-exporting to exporting over the studied period are not concentrated in a particular size range. Our findings, based on a rich data set of French manufacturing enterprises, suggest scope for fine-tuning of the theoretical framework.
Keywords: Entry; Size Distribution of Firms; Intra-industry trade (search for similar items in EconPapers)
JEL-codes: F12 F14 L11 (search for similar items in EconPapers)
Date: 2006-10-06, Revised 2006-10
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Persistent link: https://EconPapers.repec.org/RePEc:gii:giihei:heiwp19-2006
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