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Firm dynamics, job turnover, and wage distributions in an open economy

Coşar, A. Kerem; Guner, Nezih; Tybout, James R. - 2013

This paper explores the combined effects of reductions in trade frictions, tariffs, and firing costs on firm dynamics, job turnover, and wage distributions. It uses establishment-level data from Colombia to estimate an open economy dynamic model that links trade to job flows in a new way. The...

Persistent link: https://www.econbiz.de/10010208595

Subsidizing firm entry in open economies

Pflüger, Michael; Südekum, Jens - 2009

Entrepreneurs who decide to enter an industry are faced with different levels of effective entry costs in different countries. These costs are heavily influenced by economic policy. What is not well understood is how international trade affects the government incentive to impact on entry costs,...

Persistent link: https://www.econbiz.de/10003894876

Countering public opposition to immigration : the impact of information campaigns

Facchini, Giovanni; Margalit, Yotam; Nakata, Hiroyuki - 2016

Popular sentiment toward immigration is often antagonistic, making the integration of migrants one of the most important yet daunting challenges facing societies in advanced economies. Can information campaigns decrease public opposition to immigration? This paper reports results from a...

Persistent link: https://www.econbiz.de/10011594711

Effects of credit supply on unemployment and inequality

Bandyopadhyay, Subhayu; Dinopoulos, Elias; Unel, Bulent - 2016

The Great Recession, which was preceded by the financial crisis, resulted in higher unemployment and inequality. We propose a simple model where firms producing varieties face labor-market frictions and credit constraints. In the model, tighter credit leads to lower output, lower number of...

Persistent link: https://www.econbiz.de/10011494040

Greasing the wheels of international commerce : how services facilitate firms’ international sourcing

Debaere, Peter; Görg, Holger; Raff, Horst - 2010

We use unique plant-level data to study the link between the local availability of services and the decision of manufacturing firms to source materials from abroad. To guide our empirical analysis we develop a monopolistic-competition model of the materials sourcing decisions of heterogeneous...

Persistent link: https://www.econbiz.de/10003937886

Firm dynamics and residual inequality in open economies

Felbermayr, Gabriel; Impullitti, Giammario; Prat, Julien - 2014

Increasing wage inequality between similar workers plays an important role for overall inequality trends in industrialized societies. To analyze this pattern, we incorporate directed labor market search into a dynamic model of international trade with heterogeneous firms and homogeneous workers....

Persistent link: https://www.econbiz.de/10010246655

Demand uncertainty and the optimal number of export destinations

Danziger, Eliav; Danziger, Leif - 2025

We study how demand uncertainty affects risk-neutral firms' number of export destinations when uncertainty is resolved after firms choose their export destinations and output. We show that firms' ability to allocate their output across destinations in response to destination-specific shock...

Persistent link: https://www.econbiz.de/10015183367

Heterogeneous innovations and growth under imperfect technology spillovers

Jo, Karam; Kim, Seula - 2024

We study how frictions in learning others' technology, termed "imperfect technology spillovers," impact firm innovation … strategies and the aggregate economy through changes in innovation composition. We develop an endogenous growth model that … generates strategic innovation decisions, where multi-product firms improve their products via own-innovation and enter new …

Persistent link: https://www.econbiz.de/10015163046

The impact of regulation on innovation

Aghion, Philippe; Bergeaud, Antonin; Van Reenen, John - 2021

Does regulation affect the pace and nature of innovation and if so, by how much? We build a tractable and quantifiable … sharp reduction in the firm's innovation response to exogenous demand shocks for firms just below the regulatory threshold …. We then quantitatively fit the parameters of the model to the data, finding that innovation at the macro level is about 5 …

Persistent link: https://www.econbiz.de/10012431121

Distribution and growth in an economy with limited needs

Saint-Paul, Gilles - 2001

This paper studies a model of the distribution of income under bounded needs. Utility derived from any given good reaches a bliss point at a finite consumption level of that good. On the other hand, introducing new varieties always increases utility. It is assumed that each variety is owned by a...

Persistent link: https://www.econbiz.de/10011401020