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We use unique plant-level data to study the link between the local availability of services and the decision of … international sourcing of materials depends on a firm's productivity and the availability of local services. These predictions are … materials to sales. In addition, we find evidence that services grease the wheels of international commerce: A greater …
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The analysis provides a new explanation for two widespread problems concerning European unemployment policy: the disappointingly small effect of many past reform measures on unemployment, and the political difficulties in implementing more extensive reform programs. We argue that the heart of...
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