Investment (FDI). The conventional proximity-concentration theory suggests that FDI substitutes for trade if distance between …

area sovereign debt crises. We find that macro and default-specific world factors are a primary source of default …

literature. In contrast, studies on relative location tend to be weakly linked to theory, but apply relatively sophisticated … appropriateness of such models, and identify areas of potential concern. The rather weak linkage between theory and operational models …

World trade evolves at two margins. Where a bilateral trading relationship already exists it may increase through time … have not traded with each other in the past (extensive margin). We provide an empirical dissection of post-World-War- II … growth in manufacturing world trade along these two margins. We propose a "cornersolutions- version"of the gravity model to …