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作者：Caballero, Ricardo J.; Yared, Pierre
作者单位：Columbia University; Massachusetts Institute of Technology (MIT)
摘要：The conventional wisdom is that politicians rent seeking motives increase public debt and deficits This is because myopic politicians face political risk and prefer to extract political rents as early as possible In this paper we study the determination of government debt and deficits in a dynamic political economy model We show that this conventional wisdom relies on economic volatility being low relative to political uncertainty If economic volatility is high relative to political uncertaint...
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作者：Chen, Maggie Xiaoyang; Joshi, Sumit
作者单位：George Washington University; George Washington University
摘要：The recent proliferation of free trade agreements (FTAs) has resulted in an increasingly complex network of preferential trading relationships The economics literature has generally examined the formation of FTAs as a function of the participating countries economic characteristics alone In this paper we show both theoretically and empirically that the decision to enter into an ETA is also crucially dependent on the participating countries existing FTA relationships with third countries Accoun...
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作者：Hellerstein, Rebecca; Villas-Boas, Sofia B.
作者单位：Federal Reserve System - USA; Federal Reserve Bank - New York; University of California System; University of California Berkeley
摘要：A large share of international trade occurs through intra-firm transactions. We show that this common cross-border organization of the firm has implications for the well-documented incomplete transmission of shocks across such borders. We present new evidence of an inverse relationship between a firm's outsourcing of inputs and its rate of exchange-rate pass-through. We then develop a structural econometric model with final assemblers and upstream parts suppliers to quantify how firms' organiz...
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作者：Disdier, Anne-Celia; Head, Keith; Mayer, Thierry
作者单位：University of British Columbia; AgroParisTech; Universite Paris Saclay; INRAE; Institut d'Etudes Politiques Paris (Sciences Po); Centre for Economic Policy Research - UK
摘要：Free trade in audio-visual services has faced opposition on the grounds that foreign media undermine domestic culture, and ultimately, global diversity Using a long panel of French birth registries, we assess the media-culture link using name frequencies as a measure of tastes Controlling for the number of people who currently have a name and unobserved name effects, our regressions show that media influences choices via selective imitation Parents are much more likely to adopt media names tha...
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作者：Levich, Richard M.
作者单位：New York University
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作者：Hummels, David L.; Schaur, Georg
作者单位：National Bureau of Economic Research; Purdue University System; Purdue University; University of Tennessee System; University of Tennessee Knoxville
摘要：Purchasing goods from distant locations introduces a significant lag between when a product is shipped and when it arrives. These transit lags are trade barriers for firms facing volatile demand, who must place orders before knowing the resolution of demand uncertainty. We provide a model in which airplanes bring producers and consumers together in time. Fast transport allows firms to respond quickly to favorable demand realizations and to limit the risk of unprofitably large quantities during...
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作者：Shi, Kang; Xu, Juanyi
作者单位：Hong Kong University of Science & Technology; Chinese University of Hong Kong
摘要：This paper develops a small open economy general equilibrium model with nominal rigidities to study twin dollarization in East Asian economies, a phenomenon where firms borrow in US dollars and also set export prices in US dollars. In this model, we endogenize both the currency of liability denomination and the currency of export pricing. We show that a key factor that affects firms' dollarization decisions is exchange rate policy. Twin dollarization is an optimal strategy for all firms when e...
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作者：Egger, Peter; Eggert, Wolfgang; Winner, Hannes
作者单位：Swiss Federal Institutes of Technology Domain; ETH Zurich; University of Nottingham; University of Paderborn; Salzburg University
摘要：This paper analyzes to which extent foreign plant ownership involves lower tax payments than domestic plant ownership. We assess hypotheses about the tax savings of endogenous foreign subsidiary ownership relative to domestic firms in a data-set of 507,542 foreign- and domestically-owned manufacturing plants in Europe. We identify a significant profit tax saving of endogenous foreign ownership in high-tax host countries. There is evidence of profit shifting which seems more pronounced than deb...
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作者：Justiniano, Alejandro; Preston, Bruce
作者单位：Federal Reserve System - USA; Federal Reserve Bank - Chicago; Columbia University; Australian National University
摘要：This paper demonstrates that an estimated, structural, small open-economy model of the Canadian economy cannot account for the substantial influence of foreign-sourced disturbances identified in numerous reduced-form studies. The benchmark model assumes uncorrelated shocks across countries and implies that U.S. shocks account for less than 3% of the variability observed in several Canadian series, at all forecast horizons. Accordingly, model-implied cross-correlation functions between Canada a...
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作者：Olivero, Maria Pia
作者单位：Drexel University
摘要：By introducing an imperfectly competitive banking sector into a standard two-country, two-good RBC model with complete asset markets, we study the international transmission of aggregate TFP shocks in an environment with noncompetitive financial intermediation In this model, price-cost margins in a global loan market are endogenous and countercyclical As a result, a positive TIT shock in one country spills over to another through a reduction in the global cost of both credit and externally fin...
