Format:
1 Online-Ressource (circa 81 Seiten)
,
Illustrationen
ISBN:
9781513572611
Series Statement:
IMF working paper WP/21, 91
Content:
I develop a model of firm-to-firm search and matching to show that the impact of falling trade costs on firm sourcing decisions and consumer welfare depends on the relative size of search externalities in domestic and international markets. These externalities can be positive if firms share information about potential matches, or negative if the market is congested. Using unique firm-to-firm transaction-level data from Uganda, I document empirical evidence consistent with positive externalities in international markets and negative externalities in domestic markets. I then build a dynamic quantitative version of the model and show that, in Uganda, a 25% reduction in trade costs led to a 3.7% increase in consumer welfare, 12% of which was due to search externalities
Additional Edition:
Erscheint auch als Druck-Ausgabe Spray, John Search Externalities in Firm-to-Firm Trade Washington, D.C. : International Monetary Fund, 2021 ISBN 9781513572611
Language:
English
Keywords:
Graue Literatur
DOI:
10.5089/9781513572611.001
