Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/314712 
Year of Publication: 
2025
Series/Report no.: 
CESifo Working Paper No. 11673
Publisher: 
CESifo GmbH, Munich
Abstract: 
We investigate the systematic complementarities between import and export activities of firms using a novel firm-level data set for Germany. Specifically, we examine whether firms that import more are also inclined to export more, decomposing this relationship into extensive country and product as well as intensive margins of trade, with separate analyses for goods and services. By analyzing conditional correlations, the paper quantifies the role of imports in explaining exports. This complements prior studies that largely focused on either exporting or importing activities in isolation, or on specific trade liberalization episodes. We find robust evidence of import-export complementarities. Such complementarities exist for both, goods trade and, though to a lesser extent, between services trade and goods trade.
Subjects: 
firm-level trade
margin decomposition
import-export complementarity
goods and services trade
Germany
JEL: 
F23
F14
Document Type: 
Working Paper
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