This chapter reviews the state of the international trade literature on multinational firms. This literature addresses … contract with local producers or distributors? We organize our exposition of the trade literature on multinational firms around …

explain growing intermediate goods trade, three hypotheses are brought forward: outsourcing, global sourcing and the …Trade in intermediate goods as one possible link between rising trade and foreign direct investment is examined. To … reason of growing trade in intermediate goods in the cross-section and the time-series framework. The evidence for …