Showing 1 - 10 of 615
Multiproduct firms and product turnover are widespread phenomena. This paper develops a theoretical framework that links advantages in Ramp;D and variable costs with firm's ability to expand its portfolio of products. The framework is then applied to explain systematic differences in product...
Persistent link: https://www.econbiz.de/10012761578
Despite the recent rapid development and greater openness of China's economy, FDI flows between China and … technologically advanced countries are relatively small in both directions. We assess global capital flows in light of China's quid … model to data. We also find large welfare gains for China--and welfare losses for its FDI partners--from quid pro quo …
Persistent link: https://www.econbiz.de/10013063404
Incomplete information in the international market creates difficulty in matching agents with productive opportunities and interferes with the ability of prices to allocate scarce resources across countries. Resource-price differentials may not be eliminated and domestic resource supplies may...
Persistent link: https://www.econbiz.de/10013115612
We show that the negative impact of financial crises on trade is magnified for destinations with longer time-to-ship. A simple model where exporters react to an increase in the probability of default of importers by increasing their export price and decreasing their export volumes to...
Persistent link: https://www.econbiz.de/10013102708
In the automobile industry, as in many tradable goods markets, firms usually earn their highest market share within their domestic market. The goal of this paper is to disentangle the supply- and demand-driven sources of the home market advantage. While trade costs, foreign production costs, and...
Persistent link: https://www.econbiz.de/10013014669
This paper explores the links between exports, export destinations and skill utilization by firms. We identify two mechanisms behind these links, which we integrate into a unified theory of export destinations and skills. First, exporting to high-income countries with higher valuation for...
Persistent link: https://www.econbiz.de/10013038823
In this article we study differences in the returns to R&D investment between firms that sell in international markets and firms that only sell in the domestic market. We use German firm-level data from the high-tech manufacturing sector to estimate a dynamic structural model of a firm's...
Persistent link: https://www.econbiz.de/10012908466
This paper examines the extent to which the destination of exports matters for the input prices paid by firms, using detailed customs and firm-product-level data from Portugal. We use exchange-rate movements as a source of variation in export destinations and find that exporting to richer...
Persistent link: https://www.econbiz.de/10013053831
This paper evaluates the influence of host-country financial conditions on the global operations of multinational firms. Using detailed U.S. data, we establish that financial development in a country is associated with relatively more entry by multinational affiliates, as well as with higher...
Persistent link: https://www.econbiz.de/10013055496
Exporting firms often enter foreign markets that are similar to previous export destinations. We develop a dynamic model in which a firm's exports in a market may depend on how similar the market is to the firm's home country (gravity) and to its previous export destinations (extended gravity)....
Persistent link: https://www.econbiz.de/10013058240