large parts of the world. In this paper we explore the financial and the trade channel in a unified framework and quantify … losses in the value of cross-border asset holdings. Calibrated to German data, the model predicts the trade channel to be …. The transmission via the financial channel triggers a much longer-lasting recession relative to the trade channel …

industrialized countries over the period 1978-2007. In recent decades, trade integration between advanced economies increased rapidly … share of less correlated sectors in GDP. Globalization - trend reductions in trade costs - exerts two opposing effects on … cross-border GDP comovement. On the one hand, greater trade linkages increase international transmission of shocks and …

countries. Second, both openness to trade and FDI do not have a favourable effect on income distribution in developing countries …

characteristics of FDI and FPI in terms of a trade-off between their volatility and profitability. Secondly, it provides a literature …Foreign direct investment (FDI) and foreign portfolio investment (FPI) have been long considered as distinct and … phenomena. This paper analyzes the mutual relationship between FDI and FPI and attempts to answer the question whether they …

Foreign direct investment (FDI) and foreign portfolio investment (FPI) have been long considered as independent forms … of international capital flows. This paper analyzes the mutual relationship between FDI and FPI and attempts to answer … describes the main characteristics of FDI and FPI in terms of their volatility and profitability. We analyze the long-run and …

and positive for short-run developments. Furthermore, trade of OECD countries and China lowers the degree of business …