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In this article, we examine the effect of the imperfect mobility of goods on international risk sharing and, through that, on the investment in risky projects, welfare and growth. We find that the welfare gain of financial market openness is not monotonic with respect to investors' risk aversion...
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environment, the nexus of monetary, exchange rate and trade policies, and globalization. The book explains how these issues have … Monetary Policy: Past and Prospective -- 8. Trade Imbalances and Jobs: A Macro Perspective -- Part IV Globalization and … Financial Markets -- 9. Globalization and Widening Income Inequality -- 10.Economic and Market Prospects for the Medium Term …
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