Showing 1 - 10 of 29
We formulate a simple model that captures two recent hypotheses: (i) that countries with an abundant absolute endowment of skilled labour will be net exporters in R&D-intensive industries; and (ii) that countries with a large domestic market will be net exporters in scale-intensive industries....
Persistent link: https://www.econbiz.de/10005792049
This paper analyses how country size affects exchange rate policy and volatility. A hump-shaped relation between exchange rate variability and the size of countries is generated in the theoretical model: exchange rate variability increases with country size for small countries, but then...
Persistent link: https://www.econbiz.de/10005792200
Actual and potential competition is a powerful source of discipline on the pricing behavior of firms with market power. A simple model is developed that shows that the effects of import competition and domestic entry regulation on industry price-cost markups depend on country size. Barriers to...
Persistent link: https://www.econbiz.de/10005124180
We analyse the effects of trade liberalization on firms' decisions and profits, and on consumers' welfare, in a product differentiation model with countries of different size. Firms decide product specifications at the beginning of the game, in which autarky is followed by trade liberalization...
Persistent link: https://www.econbiz.de/10005504506
Differences in real interest rates across developed economies are puzzlingly large and persistent. I propose a simple explanation: Bonds issued in the currencies of larger economies are expensive because they insure against shocks that affect a larger fraction of the world economy. I show that...
Persistent link: https://www.econbiz.de/10011083930
study the effects of war on bilateral trade for almost all countries with available data extending back to 1870. Using the …" costs of war, such as lost human capital, as illustrated by case studies of World War I and World War II. …
Persistent link: https://www.econbiz.de/10005504411
This paper studies the relationship between political conflict and economic growth in a simple model of endogenous growth with distributive conflicts. We study both the case of two `classes' (workers and capitalists) and the case of a continuum distribution of agents, characterized by their...
Persistent link: https://www.econbiz.de/10005281292
German war crimes during the occupation between 1941 and 1944. During months of open conflict between German and Greek … affected by German reprisals during World War II: areas where German troops committed massacres and destroyed entire villages …
Persistent link: https://www.econbiz.de/10011083633
states and growing divergence between European powers. In our model, the impact of war on the European state system depends … on: i) the importance of money for determining the war outcome (which stands for the cost of war), and ii) a country … of war. Initially, this caused more internally cohesive states to invest more in state capacity, while other (more …
Persistent link: https://www.econbiz.de/10009385769
.S., we compare this bias between U.S. Cold War (CW) allies to non-CW allies, before and after the CW ended. The results show …
Persistent link: https://www.econbiz.de/10005789167