Globalisation has been associated with increased international mobility of capital but less so of labour partly because of legal restrictions. In theory, labour mobility and trade are generally substitutes in respect of tradeable goods and services. There are, however, also instances of...

This paper studies the determinants of Austrian bilateral intrafirm trade in a panel of industry-level intrafirm goods trade flows. Economic size, unit labor costs and the magnification effects originating from multiple border crossing of sequentically finished products are found to be the most...