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environment that captures the effects of interregional and intersectoral trade in propagating disaggregated productivity changes … pairwise interregional trade across all 50 U.S. states, 26 traded and non-traded industries, labor as a mobile factor, and … matches the U.S. input-output matrix. Using data on trade flows by industry between states, as well as other regional and …
Persistent link: https://www.econbiz.de/10011083376
We study the relationship between geography and growth. To do so, we first develop a dynamic spatial growth theory with realistic geography. We characterize the model and its balanced growth path and propose a methodology to analyze equilibria with different levels of migration frictions. We...
Persistent link: https://www.econbiz.de/10011252617
This paper examines the importance of buyer-supplier relationships, geography and the structure of the production network in firm performance. We develop a simple model where firms can outsource tasks and search for suppliers in different locations. Low search and outsourcing costs lead firms to...
Persistent link: https://www.econbiz.de/10011262884
) bilateral trade openness reduces bilateral cultural distance; (ii) the more differentiated the products, the more trade reduces … cultural distance; (iii) trade openness has a lock-in effect on culture. Third, we test the model using an instrumental … bilateral trade openness translates into a 43% standard deviation decrease in bilateral cultural distance. …
Persistent link: https://www.econbiz.de/10005082538
This paper offers a medium-term perspective for analysing the trade openness.inequality relationship in Latin America … estimation of the association between trade openness and income distribution over the 30-year period. Our central conclusion in … this regard is that greater trade openness is associated with contemporaneous increases in inequality in the region. The …
Persistent link: https://www.econbiz.de/10009653087
countries while simultaneously decreasing the likelihood of severe precipitation deficits in Tanzania. Trade restrictions, like …
Persistent link: https://www.econbiz.de/10009653096
increased international trade. This study tests two theories as to why democracies might trade more. First, political freedom … trade more. Second, democracy implies higher quality governance either through institutions or policy-making procedures. I … utilize a bilateral gravity trade model covering approximately 150 countries from 1950 to 1999, with fixed effects for time …
Persistent link: https://www.econbiz.de/10009366430
Industrial policy has attracted considerable controversy in the development context. This paper makes a case for a pragmatic and limited approach to interventions as a means of stimulating industrialization in the context of current and future challenges facing newly industrializing economies....
Persistent link: https://www.econbiz.de/10009366432
the period 1975-2005. In particular, it tests a) whether increases in trade lead to rising inequalities, b) whether these … inequalities recede in time, and c) whether increases in global trade affect the developed and developing worlds differently. Using … static and dynamic panel data analysis, it is found that while increases in trade per se do not lead to greater territorial …
Persistent link: https://www.econbiz.de/10009367423
-driven and the decision to serve foreign countries via exports or FDI depends on a proximity-concentration trade-off. We … characterize the joint patterns of trade and FDI when countries differ in income distribution and size and show that FDI is more …
Persistent link: https://www.econbiz.de/10009367424