This paper deals with the complementarity between skills and knowledge by investigating particularly tacit knowledge flows between countries and regions. The main findings are threefold. First, there seems to exist a trade-off between acquiring knowledge through performing and putting effort in R&D and through investing into access to the public knowledge basin. Secondly, migration of high-skil...

Training neural network language models over large vocabularies is computationally costly compared to count-based models such as Kneser-Ney. We present a systematic comparison of neural strategies to represent and train large vocabularies, including softmax, hierarchical softmax, target sampling, noise contrastive estimation and self normalization. We extend self normalization to be a proper es...

This paper explores the dynamic effects of trade liberalization on tax revenue using a worldwide panel dataset. Results point to statistically significant negative effect (non- resource) revenues in short term and no medium term. Liberalization also alter structure tilting toward indirect taxes away from direct ones. Economies which have implemented value added prior mitigated its revenues. The...

In this paper we develop a theory of how factors interact at the plant level. The theory has implications for (1) the micro foundations for capital-skill complementarity, (2) the relationship between factor allocation and plant size, and (3) the effects of trade and growth on the skill premium. The theory is consistent with certain facts about factor allocation and factor price changes in the 1...

This paper develops new economic models to synthesize and interpret the empirical literature on human skill formation. It presents simple formal economic models of child development that capture the essence of recent findings from the empirical literature. The goal of this essay is to provide a theoretical framework for interpreting the evidence from a vast empirical literature, for guiding the...

The classical Heckscher-Ohlin-Mundell paradigm states that trade and capital mobility are substitutes, in the sense that trade integration reduces the incentives for capital to ‡ow to capital-scarce countries. In this paper we show that in a world with heterogeneous …nancial development, the classic conclusion does not hold. In particular, in less …nancially developed economies (South), trade a...