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International trade exposes exporters and importers to substantial risks. To mitigate these risks, firms can buy special trade finance products from banks. This paper explores under which conditions and to what extent firms use these products. We find that letters of credit and documentary...
Persistent link: https://www.econbiz.de/10011459364
How relevant are financial instruments to manage risk in international trade for exporting? Employing a unique dataset of U.S. banks' trade finance claims by country, this paper estimates the effect of shocks to the supply of letters of credit on U.S. exports. We show that a one-standard...
Persistent link: https://www.econbiz.de/10011459427
effects on export growth. A shock of one standard deviation to a country's supply of trade finance decreases exports, on … aggregate uncertainty is high. Our results imply that global banks affect export patterns and suggest that trade finance played …
Persistent link: https://www.econbiz.de/10010222887
export behavior of foreign firms in a multi-product setting has not previously been considered for a developing country … domestic market as well as those producing many products for export demonstrates the diversity of behavior of foreign firms in …
Persistent link: https://www.econbiz.de/10012724882
SMEs play an important role in the world economy and contribute substantially to income, output and employment. Reaching global markets is a dream for every. Opening new markets enables firms to increase their sales and hence enabling growth, through increased customer base. Risk is spread by...
Persistent link: https://www.econbiz.de/10012973478
Banks play a critical role in international trade by providing trade finance products that reduce the risk of exporting. This paper employs two new data sets to shed light on the magnitude and structure of this business, which, as we show, is highly concentrated in a few large banks. The two...
Persistent link: https://www.econbiz.de/10013054021
effects on export growth. A shock of one standard deviation to a country's supply of trade finance decreases exports, on … aggregate uncertainty is high. Our results imply that global banks affect export patterns and suggest that trade finance played …
Persistent link: https://www.econbiz.de/10013057250
International trade exposes exporters and importers to substantial risks. To mitigate these risks, firms can buy special trade finance products from banks. This paper explores under which conditions and to what extent firms use these products. We find that letters of credit and documentary...
Persistent link: https://www.econbiz.de/10013210355
How relevant are financial instruments to manage risk in international trade for exporting? Employing a unique dataset of U.S. banks' trade finance claims by country, this paper estimates the effect of shocks to the supply of letters of credit on U.S. exports. We show that a one-standard...
Persistent link: https://www.econbiz.de/10013210369
The study is an attempt to analyse the impact of specific sources of finance on firms' export performance by … investigating empirically the SME exporters' preferred mode of financing their various export operations and linking it with their … export profitability. Based on the findings it is concluded that the funds sourced from commercial banks have a significant …
Persistent link: https://www.econbiz.de/10013060087