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This paper shows that a one standard deviation increase in customer countries realized return is associated with substantial increase in supplier country returns. Thus, network of trade links can transmit relevant economic information
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Did multinational production (MP) exacerbate or mitigate the collapse of international trade during the Great Recession? What role did MP and trade links play in propagating economic shocks across countries? I resolve the “Multinationals’ Resilience Puzzle” during the Great Recession by...
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