An in-depth investigation into the effect of embedment in global value chain (GVC) on energy conservation and emissions reduction is of great significance for scientifically assessing the environmental impact of GVC participation, and promoting high-quality development in China. This paper...

We study the role of firm heterogeneity and imperfect competition for global production networks and the gains from trade. We develop a quantifiable trade model with two-sided firm heterogeneity, matching frictions, and oligopolistic competition upstream. More productive buyers endogenously...

This paper extends the global sourcing model with informal labor, which spawns reputation and legal costs for violating the rules and regulations imposed on foreign firms regarding accessing informal labor under integration. Under these circumstances, foreign firms, facing a higher cost than...