author={Antoine Berthou and Lionel Fontagné},
title={The Euro and the Intensive and Extensive Margins of Trade: Evidence from French Firm Level Data},
type={Working Papers},
abstract={We improve the study of the effects of a Currency Union on trade. Using data on French exports at the firm level, we compute an intensive and extensive margins of French exports - with a variety dimension - over the period 1998-2003. Estimation results indicate that nominal exchange rate volatility has a negative effect, which translates into the intensive and extensive margins. We also provide some evidence that the euro had an additional positive effect on the extensive margin; this effect is not related to the reduced nominal exchange rate volatility. This suggests a new varieties effect of the euro.},
keywords={Trade ; Export margins ; Euro}