We demonstrate that the Varian (1980) model of sales has a unique Nash equilibrium when firms incur costly advertising to compete for informed consumers. The equilibrium is symmetric. In particular, with costly advertising, the asymmetric equilibria highlighted by Baye et al. (1992) do not arise.

We show that, in general, consistent estimates of cost pass-through are not obtained from reduced-form regressions of price on cost. We derive a formal approximation for the bias that arises even under standard orthogonality conditions. We provide guidance on the conditions under which bias may...

This paper examines how the Japanese firms’ export decision is affected by the availability of information on export markets, focusing on whether the availability of such information has a different impact on the export decision between large firms and small and medium-sized enterprises...

This paper empirically examines differential impacts of globalisation on plant size among plants with different characteristics, including initial plant size, import and export status, and ownership. After accounting for other characteristics, results of this analysis suggest that both import...

The main purpose of this study is to examine whether the relationship between exporting and productivity differs across firm sizes in the Malaysian manufacturing sector. A firm-level panel data from the Study on Knowledge Content in Economic Sectors in Malaysia (MyKE) is used in the study....

This paper studies the impact of the Global Financial Crisis of 2008 on Japanese exports, focusing on international production networks in machinery sectors. For our survival analysis, we estimate a Cox proportional hazards model. Consequently, we find that Japanese exports to Asian countries,...

We provide cogent evidence for the causal pro-trade effect of migrants and in doing so establish an important link between migrant networks and long-run economic development. To this end, we exploit a unique event in human history, the exodus of the Vietnamese Boat People to the US. This episode...

This paper examines the relationship between productivity differentials and firm turnover in Vietnamese manufacturing. We utilize firm-level data between 2000 and 2009, including the year 2007, when Vietnam joined the World Trade Organization (WTO). Our major findings are twofold. First, the...

This paper investigates the relationship between firm-level upgrading and buyer-seller business networks in order to better understand how and to whom technology transfer occurs. Using firm’s self-reported buyer and supplier network data from business–to–business (B2B) markets in Southeast...

This paper attempts to investigate the features of development and restructuring patterns of regional production/distribution networks, mainly in machinery sectors, using finely disaggregated international trade data. More specifically, the paper first studies the developing patterns of...