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interdependent, and the O-ring theory of production is such a theory. The paper first presents and modifies this model and then … to trade barriers and infrastructure quality and cost of infrastructural services. The relative importance of trade … barriers and various indicators of infrastructure vary between sectors. Vertical specialization in the electronics sector …
Persistent link: https://www.econbiz.de/10010205555
This paper explores patterns of quality differentiation and specialization relying on model-level panel data of retail sales and prices of refrigerators across 23 countries in the European Union. Unlike customs data aggregated at the product category, typically used in the literature,...
Persistent link: https://www.econbiz.de/10012433943
This paper explores patterns of quality differentiation and specialization relying on model-level panel data of retail sales and prices of refrigerators across 23 countries in the European Union. Unlike customs data aggregated at the product category, typically used in the literature,...
Persistent link: https://www.econbiz.de/10014533531
Multi-stage production is widely recognized as an important feature of the modern global economy. This feature has been incorporated into many state-of-the-art quantitative trade models, and has been shown to deliver significant additional gains from international trade. Meanwhile,...
Persistent link: https://www.econbiz.de/10011637447
The core idea behind the paper is that trade policy matters for the organization of global value chains, a notion largely neglected by economists but which has important implications for our understanding of trade and the international transmission of trade policy shocks. We develop a...
Persistent link: https://www.econbiz.de/10010336935
This paper explores the impact of vertical specialization on world trade within the framework of the O-ring theory of … in low-cost countries will only have an incentive to upgrade quality if adequately efficient infrastructure, logistics …
Persistent link: https://www.econbiz.de/10010205552
There is an ongoing debate in the literature about the quality content of Chinese exports and to what extent China imposes a threat to the market positions of advanced economies. While China's export structure is very similar to that of the advanced world, its export unit values are well below...
Persistent link: https://www.econbiz.de/10008935837
This paper picks up the seminal model of Venables (1996) and provides a quantifying concept for the sectoral coherence in vertical-linkage models of the New Economic Geography. Based upon an alternative approach to solve the model and to determine critical trade cost values, this paper focuses...
Persistent link: https://www.econbiz.de/10003749730
This paper discusses how international trade is organized from export to trans-boundary transport to import. All evidence suggests that the transport sector is independent, may exercise market power and features strong economies of scale. We develop a model of a transport industry that operates...
Persistent link: https://www.econbiz.de/10011936311
We propose a quantitative framework for the analysis of industrialization in which specialization in manufacturing or agriculture is driven by comparative advantage and non-homothetic preferences. Countries are integrated through trade but trade is not costless and geographic position matters....
Persistent link: https://www.econbiz.de/10009621748