Showing 1 - 10 of 22
This paper investigates the role of the exchange rate regime in the process of trade adjustment, by examining the relationship between trade prices and exchange rate regimes. The theoretical framework is a dynamic one à la Froot-Klemperer (1989). The empirical investigation takes advantage of...
Persistent link: https://www.econbiz.de/10005497720
The paper lies at the intersection between the literature on macroeconomics and politics and the literature on coordination. It uses models of political business cycles in an open economy setting to investigate the costs and benefits of forming electoral areas, i.e. regions where countries share...
Persistent link: https://www.econbiz.de/10005656399
The impact of exchange rate fluctuations on international trade has long been a major concern for policy-makers. This is particularly the case in Europe, where countries trade extensively with each other. The crisis that began in the Summer of 1992 generated increased exchange rate fluctuations...
Persistent link: https://www.econbiz.de/10005136634
We set up a dynamic adverse selection model to explain how career concerns may induce managers in state-owned enterprises (SOEs) to restructure their firms. It is shown how government monopsony power over managers led to the ratchet effect under the socialist economy, even under reforms coming...
Persistent link: https://www.econbiz.de/10005504594
This paper presents a simple ratchet model. The ratchet effect, and the inability of the government to precommit credibly to given incentive schemes, are related to the fact that the government has monopsony power over managers, as is the case under market socialism where means of production are...
Persistent link: https://www.econbiz.de/10005662417
This paper surveys the recent literature on Arab economic integration, discusses the goals and progress that has been made to date and some of the key policy, regulatory and political factors that underpin the segmentation of Arab markets. It argues that there has been an excessive focus by both...
Persistent link: https://www.econbiz.de/10008530352
The paper analyses the degree of structural change that has occurred within the EC since the launch of the internal market programme. It is divided into three parts: the first examines inter-sectoral shifts in the pattern of specialization within EC manufacturing, and finds relatively little...
Persistent link: https://www.econbiz.de/10005504607
The paper examines the development of regional trade agreements (RTAs) between the European Community (EC) and its partners during the past decade. It finds that EC regionalism has recently entered a new phase: regional trade agreements with countries outside Europe. As a result of parallel...
Persistent link: https://www.econbiz.de/10005498177
This paper shows that uncertainty can lead firms to follow a gradual internationalization process. We describe a model in which firms are uncertain about their ability to earn profits in a foreign market and must decide whether or not to serve it, and whether to do so through exports or foreign...
Persistent link: https://www.econbiz.de/10011083883
It is often alleged that PTAs involving the EC and the US include a significant number of obligations in areas not currently covered by the WTO Agreement, such as investment protection, competition policy, labour standards and environmental protection. The primary purpose of this study is...
Persistent link: https://www.econbiz.de/10005025516