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This paper provides a general and unified framework to study the role of production networks in international GDP comovement. We first derive an additive decomposition of bilateral GDP comovement into components capturing shock transmission and shock correlation. We quantify this decomposition...
Persistent link: https://www.econbiz.de/10012867903
Most international commerce is carried out by multinational firms, which use their foreign affiliates both to serve the market of the host country and to export to other markets outside the host country. In this paper, I examine the determinants of multinational firms' location and production...
Persistent link: https://www.econbiz.de/10012992631
Within Japanese multinational firms, parent exports from Japan to a foreign region are positively related to production … in that region by affiliates of that parent, given the parent's home production in Japan and the region's size and income … level. This relationship is similar to that found for Swedish and U.S. multinationals in parallel studies. A Japanese parent …
Persistent link: https://www.econbiz.de/10012778835
Using a unique database on all Japanese manufacturing plants in the United States, we examine the relationship between …
Persistent link: https://www.econbiz.de/10013227197
In recent decades, growth of overall world trade has been driven in large part by the rapid growth of trade in intermediate inputs. Much of this input trade involves multinational firms locating input processing in their foreign affiliates, thereby creating global vertical production networks....
Persistent link: https://www.econbiz.de/10013218078
,' which are about 60 percent of world output. Given all the attention that 'globalization' has received from scholars …
Persistent link: https://www.econbiz.de/10013238944
This paper examines the welfare effects of a tax on foreign purchases of domestic land. Using a simple static framework the paper shows that an appropriately chosen tax will generally be welfare-improving for the domestic country
Persistent link: https://www.econbiz.de/10012777147
The U.S. Bureau of Economic Analysis (BEA) estimates the return on investments of foreign subsidiaries of U.S. multinational companies over the period 1982--2006 averaged 9.4 percent annually after taxes; U.S. subsidiaries of foreign multinationals averaged only 3.2 percent. Two factors distort...
Persistent link: https://www.econbiz.de/10012759325
Foreign-owned establishments in the United States pay higher wages, on average, than domestically-owned establishments. The foreign-owned establishments tend to be in higher-wage industries and also to pay higher wages within industries. They tend to locate in lower-wage states, but to pay more...
Persistent link: https://www.econbiz.de/10013222980
Models dealing with cross-border acquisitions versus greenfield investment usually assume that the entry of a foreign firm into a market has effects on the outputs of all domestic firms in that market, but exit or entry of local firms is not considered. The purpose of this paper is to re-examine...
Persistent link: https://www.econbiz.de/10013224413