The Determinants of Intrafirm Trade: Evidence from French Firms

Gregory Corcos, Delphine Irac, Giordano Mion and Thierry Verdier
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Delphine Irac: Banque de france - Banque de France

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Abstract: How well does the theory of the firm explain the choice between intrafirm and arm's-length trade? This paper uses firm-level import data from France to look into this question. We find support for three key predictions of property rights theories of the multinational firm. Intrafirm imports are more likely in capital- and skill-intensive firms, in highly productive firms, and from countries with well-functioning judicial institutions. We bridge previous aggregate findings with our investigation by decomposing intrafirm imports into an extensive and intensive margin and uncover interesting patterns in the data that require further theoretical investigation.

Keywords: Intrafirm; Trade (search for similar items in EconPapers)
Date: 2013-07
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Citations: View citations in EconPapers (69)

Published in Review of Economics and Statistics, 2013, 95 (3), pp.825-838. ⟨10.1162/REST_a_00293⟩

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Related works:
Journal Article: The Determinants of Intrafirm Trade: Evidence from French Firms (2013)
Working Paper: The determinants of intrafirm trade: evidence from French firms (2013)
Working Paper: The Determinants of Intrafirm Trade: Evidence from French Firms (2013)
Working Paper: The determinants of intrafirm trade: Evidence from French firms (2012)
Working Paper: The Determinants of Intrafirm Trade: Evidence from French Firms (2012)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-00879809

DOI: 10.1162/REST_a_00293

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