Why do similar firms export differently? - Archive ouverte HAL
Article Dans Une Revue Research in Economics Année : 2022

Why do similar firms export differently?

Résumé

Eaton et al. (2011) underline that firms with similar production costs, entry costs and demand export to different countries. In this theoretical article, I provide a rationale for this feature of the data. I demonstrate that similar firms exporting differently can be explained by a baseline trade-off between attractiveness and competition that is present in any model with monopolistic competition. I then show that this trade-off also generates valuable theoretical features including distance-related mark-ups, third country effect and equivalence with random utility models.
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Dates et versions

hal-04204655 , version 1 (12-09-2023)

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Citer

Vincent Boitier. Why do similar firms export differently?. Research in Economics, 2022, 76 (4), pp.373-385. ⟨10.1016/j.rie.2022.09.002⟩. ⟨hal-04204655⟩

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