We analyze trade dynamics following past episodes of financial crises. Using an augmented gravity model and 179 crisis … episodes from 1970-2009, we find that there is a sharp decline in a country’s imports in the year following a crisis-19 percent …, on average-and this decline is persistent, with imports recovering to their gravity-predicted levels only after 10 years …

A view receiving increased support is that the height of trade costs in prime export sectors has a strong effect on … current account balances: countries specializing in sectors that face relatively high trade costs, such as services, tend to … run current account deficits, and similarly, countries specializing in low trade cost sectors, such as manufacturing, tend …

, bilateral economic interactions like trade, FDI and portfolio investment, positively correlate with lending. Chinese banks …' lending to EMDEs also strongly correlates with trade, but not with FDI and, unlike other banks, it correlates negatively with …

This paper examines the impact of trade on employment, wages, and other outcomes across countries and explores the … conditions and policies that help spread the gains from trade more evenly throughout the population. We exploit a large global … employment prospects in response to trade shocks. Finally, we find that firms experiencing greater import competition start with …

trade, while accommodating asymmetries in trade flows. A new equation for the proportion of exporting firms takes a gravity … multilateral resistance terms with which to capture the comparative static effects of changes in trade costs. For isolated … bilateral changes in trade frictions, multilateral resistance effects are small for most countries. However, if all countries …

basis of cross-section and panel regressions for 1995-2002, we find that Russian exports to WTO members have fallen short of … trade reorientation toward WTO members after a putative accession. Our results also prompt some ideas that may resolve the … recent empirical controversy over the WTO''s overall role in promoting trade …

previous studies and distinguishing between intra- and extra-MERCOSUR trade. It measures the importance of relative price … versus income effects in accounting for the higher trade deficit during the 1990s, and examines whether foreign trade … elasticities have increased as a result of structural changes in the economy. It finds that the high income elasticity of imports …

This paper examines the impact of trade costs on real exchange rate volatility. We incorporate a multi …-country Ricardian model of trade, based on the work of Eaton and Kortum (2002), into a macroeconomic model to show how bilateral real … exchange rate volatility depends on relative technological differences and trade costs. These differences highlight a new …