countries are smaller for industries with higher emission productivity. Our theory and empirical results point to the importance …

question using a novel framework of firm labor choice in the face of aggregate risk. The theory implies a cross-section of …-level facts. We use cross-country firm-level data to document a number of empirical patterns consistent with the theory, namely …

well-being of their citizens. International advisors typically suggest developed-world solutions as a remedy. We argue that …, particularly tax-smoothing practices. Focusing on democratic representation and control of corruption, our dynamic political …

We analyze how expropriation risk reduces incentives for innovation and reallocates resources from the innovative … in the presence of expropriation risks. Empirical analyses, based on a LASSO Instrumental Variable approach and a novel … comprehensive dataset spanning nearly two decades, confirm our theoretical predictions. We find robust evidence that expropriation …

, can propel an economy to exhibit a flying geese paradigm escaping from a middle-income trap and catching up with the world …

theoretical framework that is consistent with such empirical findings and also yields policy and welfare lessons. The theory …

obstacles associated with corruption and weak institutions. We model these circumstances in a principal-agent framework with … economic corruption as an indicator of the strength of property right enforcement within a given country. We compare corruption … levels for a large cross section of countries in 1989 to subsequent FDI flows from 1990 to 1999. We find that corruption is …