This paper fits a gravity model to the trade of 76 market economies. It then applies the model to data on East European … mutual trade and trade with developing countries, but it will increase trade with industrial counties by factors of three to … thirty. West Germany and the USA are the principal beneficiaries of this new trade, increasing their exports and imports by …

We work with a panel of bilateral trade flows from 1988 to 2002, exploring the influence of infrastructure …, institutional quality, colonial and geographic context, and trade preferences on the pattern of bilateral trade. We are interested … in threshold effects, and so emphasize those cases where bilateral country pairs do not actually trade. We depart from …

The significance of a common language in foreign trade hinges on translation as well as the ability to communicate … explain adequately the impact of a common language on foreign trade. Linguistic diversity at home also promotes foreign trade …. But the most significant linguistic influence of all on foreign trade is the ability to read and write any language …

-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 …We study patterns of FDI in a multi-country world economy. First, we present evidence for a broad sample of countries …

The effects of ISO 9000 diffusion on trade and FDI have gone understudied. We employ panel data reported by OECD … diffusion to have no effect in developed nations, but to positively pull FDI (i.e., enhancing inward FDI) and positively push … trade (i.e., enhancing exports) in developing nations. …

firms to serve foreign markets either through exports or local subsidiary sales (FDI). These modes of market access involve … serve the overseas market via FDI. The Paper then explores several implications of the individual firms’ decisions for … aggregate export and FDI sales relative to the domestic and foreign market sizes. In particular, it is shown that firm level …

Globalization is not only about the rise of trade, FDI, and migration. It is also about the changing linkages among … liberalization fostered not only trade but also inward investment, confirming that trade and FDI toward developing countries have …, trade policies and the stock of FDI have a positive impact on the incentives to invest in education. This set of findings …

reduce the relative prevalence of FDI or foreign outsourcing. The impact on the composition of offshoring depends on whether …

This paper explores the links between the patterns of migration (high vs. low-skill), trade policy, and foreign direct … investment (FDI) from the standpoint of sending countries. A skeleton general equilibrium model with a non-traded good and sector …-specific labour is used to explore the effects of the skill-composition of exports on FDI. The model suggests that if exports are low …

This Economica Coase Lecture reviews research that has revolutionized the field of international trade and foreign …