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Applied general-equilibrium (AGE) models have often made compromises to circumvent difficult modeling problems. One of these is avoiding endogenous zeros, ruling out important questions. Traditional perfect competition models: when do technologies or trade links switch from active to inactive or...
Persistent link: https://www.econbiz.de/10014635684
consequences of changing firm concentration: productivity, distortions, selection into exporting, scale economies, and … firms is attributable to higher productivity growth rather than differential distortions. Exceptional performance of the top …
Persistent link: https://www.econbiz.de/10014635611
that capital deepening made China's production and exports more capital-intensive, although labor-biased productivity … economy. We document and explain new facts concerning changes in production and exports at the industry and firm levels using … the mid-2000s and fell until the 2020s, while the world's exposure to Chinese exports rose continuously …
Persistent link: https://www.econbiz.de/10014544694
Yes. We state closed-form expressions for steady state gains from trade that apply in a class of dynamic trade models that includes dynamic versions of the Krugman (1980), Melitz (2003), and customer capital (e.g., Arkolakis, 2010) models. The gains are a function of the domestic trade share and...
Persistent link: https://www.econbiz.de/10014576594
We show that capital controls have large adverse effects on misallocation, exports and welfare using a dynamic Melitz … Chilean encaje, the model yields higher aggregate misallocation with larger effects on exporters and high-productivity firms …
Persistent link: https://www.econbiz.de/10014226160
patterns reflect economies of scale: larger regions produce higher-quality services because they serve more patients. Because …
Persistent link: https://www.econbiz.de/10014247951
We quantify and explain the firm responses and worker impacts of foreign demand shocks to domestic production networks. To capture that firms can be indirectly exposed to such shocks by buying from or selling to domestic firms that import or export, we use Belgian data with information on both...
Persistent link: https://www.econbiz.de/10013388803
US exports in 2007. Despite their disproportionate share of global trade, MNEs' input sourcing and final-good production …
Persistent link: https://www.econbiz.de/10013388806
featuring (1) quality-segmented markets, (2) step-by-step innovation that moves firms forward along the quality ladder, and (3 … competition: a firm with a large and less-competitive quality segment ahead or forward of it will have strong incentives to … innovate into this profitable segment, while a firm with a small and more-competitive quality segment behind it will also have …
Persistent link: https://www.econbiz.de/10013388811
Distribution of goods often involves multiple intermediaries engaged in sequential buying and reselling. Why do these chains of intermediation exist, and what are their implications for consumers? We show that multi-intermediary chains arise in response to internal economies of scale in trade...
Persistent link: https://www.econbiz.de/10013334328