Ahn, JaeBin; Amiti, Mary; Weinstein, David E. - In: American Economic Review 101 (2011) 3, pp. 298-302
Economic models that do not incorporate financial frictions only explain about 70 to 80 percent of the decline in world trade that occurred in the 2008-2009 crisis. We review evidence that shows financial factors also contributed to the great trade collapse and uncover two new stylized facts in...