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TRADE EFFECTS OF A NEGATIVE EXPORT SHOCK ON DIRECT EXPORTERS AND WHOLESALERS

Mathias Juust

No 133, University of Tartu - Faculty of Economics and Business Administration Working Paper Series from Faculty of Economics and Business Administration, University of Tartu (Estonia)

Abstract: This paper examines the effects on the exports of Estonian firms of the Russian export shock of 2014, which was a multifaceted negative market-wide income shock. The dataset covers all the Estonian exporters that exported to Russia in 2013 and the empirical analysis uses a difference-in-difference method in combination with the coarsened exact matching method to account for heterogeneities between the treatment and control groups. I find that the wholesalers affected were able to show better export performance after the shock than direct exporters were. The trade performance after the shock was lower for both wholesalers and direct exporters that had lower initial productivity levels.

Keywords: export shock; firm-level trade effects; trade effects; trade policy (search for similar items in EconPapers)
Pages: 29 pages
Date: 2021
New Economics Papers: this item is included in nep-cis, nep-int and nep-tra
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Persistent link: https://EconPapers.repec.org/RePEc:mtk:febawb:133

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