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This paper provides causal evidence of the impact of industrial policy on firms' long-term performance and quantifies industrial policy's long-term welfare effects. Using a natural experiment and unique historical data during the Heavy and Chemical Industry (HCI) Drive in South Korea, we find...
Persistent link: https://www.econbiz.de/10012629483
We develop a theory of multiproduct firms to analyze the effects of globalization on the distributions of firm size … have lower values of Tobin's Q than small firms. Second, it explains the globalization-skewness puzzle documented in the … our model, globalization not only affects the distribution of observed productivities but also productivity at the firm …
Persistent link: https://www.econbiz.de/10012466343
Persistent link: https://www.econbiz.de/10003890008
emerged to explain this phenomenon, one focusing on international trade and labor market globalization as the driving force … continued effects of technology and globalization on the labor market. …
Persistent link: https://www.econbiz.de/10001433753
We develop a Ricardian model of trade in which countries innovate ideas that diffuse across the globe. In this model, the forces of innovation and diffusion combine to shape trade substitution patterns. Innovation makes a country technologically distinct, reducing their substitutability with...
Persistent link: https://www.econbiz.de/10012814404
Globalization brings opportunities and pressures for domestic firms in emerging markets to innovate and improve their … between globalization and innovation does not differ across the manufacturing and service sectors …
Persistent link: https://www.econbiz.de/10012464166
This paper analyzes the potential effect of global market competition on inflation dynamics. It does so through the lens of the Calvo model of staggered price-setting, which implies that inflation depends on expected future inflation and a measure of marginal costs. I modify the assumption of a...
Persistent link: https://www.econbiz.de/10012465091
Has rising import competition contributed to the polarization of U.S. politics? Analyzing outcomes from the 2002 and 2010 congressional elections and the 2000, 2008, and 2016 presidential elections, we detect an ideological realignment that is centered in trade-exposed local labor markets and...
Persistent link: https://www.econbiz.de/10012456043
China's admission into the WTO in 2001 heralded a new era of globalization, increasing both import competition in … during the post globalization period (2003-2019) increased by 11.5% of the corresponding pre-globalization period (1984 … contrast, following globalization, the average aggregate domestic profitability of US firms remained flat, and firms employed …
Persistent link: https://www.econbiz.de/10014512056
Using longitudinal data from the German Socio-Economic Panel, we analyze the effects of exposure to globalization on …
Persistent link: https://www.econbiz.de/10013334338