In this paper, we implement Granger causalty tests using panel data as methodology perfected by Hurlin (2004, 2005) and Hurlin and Venet(2004). We consider the bilateral trade patterns of the European Union with 17 countries over the period 1976-2000. We show that for the whole sample, there are...

This paper proposes an international trade model under uncertainty in which international differences in financial development provide the basis for trade. When preferences exhibit risk vulnerability as defined by Gollier and Pratt [1996], financial development reduces individuals’ risk...

Cet article évalue les performances des firmes multinationales dans l’industrie manu- facturière française, et les compare à celles des entreprises uniquement exportatrices et domestiques. Les primes à l’implantation s’avèrent très significatives et dépassent lar- gement les primes...

Taking seriously the stylized fact that some countries are more risk averse than others regarding business activities, we examine the consequences on international trade and welfare. When risk is idiosyncratic to each manager's project, international differences in manager's risk-aversion...

Following the Green Paper dealing with the entrepreneurship in Europe, the European Commission put forward the thesis that Europe suffers from an «entrepreneurship deficit» in comparison to the US. This paper presents a model dealing with the consequences of managers’ optimism and pessimism...

This paper examines the debate over the gains from trade when international differences in the risk perception of heterogeneous managers provide the basis for trade: the relatively optimistic country exports the risky commodity whereas the relatively pessimistic country exports the certain...

Differences between domestic financial systems can lead to international trade. A country with relatively developed or decentralized financial systems will export innovative commodities while a country with less developed and centralized financial systems will export traditional commodities....

This paper investigates the welfare effects of international trade when technological idiosyncratic risk is distorted by optimistic and pessimistic managers. We show that free trade always improves the ex-ante welfare but sometimes lowers the ex-post welfare. Free trade commitment can be...

The purpose of this article is to analyse the efficiency of the repayment incentive mechanisms used for individual microcredit, the guarantor mechanism in particular. Little academic research has been devoted to this instrument whereas it is very frequently used. Churchill (1999) notably...