Abstract Trade between India and China has been rising exponentially with a widening trade deficit for India, which raised alarm by businesses, some Indian parliamentarians have started accusing of unfair practices. Nevertheless, both countries intend to negotiate free arrangements them based on complementarity. This study examines how much reduction in due different preferential trading is fea...

Empirical evidence confirms that trade exposure can shift resources towards the most efficient firms in an industry and induce substantial increases in aggregate productivity. Although recent studies document that much of world trade is controlled by multinational firms, few examine the effect of foreign direct investment decisions on resource allocation and aggregate productivity. This paper p...

In data, bilateral trade is strongly correlated with bilateral GDP comovement. This paper examines whether trade in intermediate inputs explains this empirical fact. I integrate input trade into a many country, multi-sector model and calibrate the model to data on bilateral input-output linkages. With estimated productivity shocks, the model generates an aggregate trade-comovement correlation 3...

Empirical evidence confirms that trade exposure can shift resources towards the most efficient firms in an industry and induce substantial increases in aggregate productivity. Although recent studies document that much of world trade is controlled by multinational firms, few examine the effect of foreign direct investment decisions on resource allocation and aggregate productivity. This paper p...

While plant species diversity can reduce herbivore densities and herbivory, little is known regarding how plant genotypic diversity alters resource utilization by herbivores. Here, we show that an invasive folivore--the Japanese beetle (Popillia japonica)--increases 28 per cent in abundance, but consumes 24 per cent less foliage in genotypic polycultures compared with monocultures of the common...

In this paper, we provide an overview of the relationship between international migration and international trade as well as capital movements. After taking a brief historical perspective, we first investigate migration flows between two countries in a static, neoclassical context. We allow for a disaggregated view of migration that distinguishes between different types of labor and emphasizes ...

A process of endogenous human capital formation is analyzed in combination with the existence of trade unions and banks. By lowering opportunity costs for schooling, trade unions provide incentive for human capital investments for parts of the workforce. Imperfect competition in the banking sector creates a self-selection situation favorable for long-term investment giving firms the possibility...

In large firms, management resolves a trade off between hiring more versus better workers. The span of control or size is therefore intimately intertwined with the sorting pattern. Span of control is at the center of many studies in macroeconomics, comparisons of factor productivity, trade, and labor. With heterogeneous workers, we analyze the worker assignment, firm size, and wages. The patter...

This paper analyzes the effect of international trade on the gender wage gap and the resulting impact on households’ trade-off between female labor force participation (FLFP) and fertility. We argue that whenever trade expands sectors intensive in female labor, the gender wage gap widens and FLFP falls. In a model where male labor and female labor are two distinct factors of production we disti...