Within a higher-dimensional incomplete specialization Heckscher-Ohlin framework, we first develop a gravity model that views bilateral gravity equations as statistical relationships constrained on countries’ multilateral specialization patterns. Second, we test our model empirically by using a...

By combining and extending the previous literature, we develop and test a gravity specification that views bilateral gravity equations rooted in a Heckscher-Ohlin framework as statistical relationships constrained on countries’ multilateral specialization patterns. According to our results,...

Recent empirical studies have been searching for evidence on and driving forces for offshoring. Frequently, this has been done by analyzing gross trade flows related to offshore activities using gravity equations augmented by ad hoc measures of supply-side country differences. This paper...

We suggest that bilateral gravity equations augmented by ad hoc measures of absolute supply-side country differences are misspecified. Building on Haveman and Hummels (2004), we develop and test an alternative specification rooted in incomplete specialization that views bilateral gravity...

Motivated by growth models based on the variety of capital goods, recent empirical studies have established links between productivity and several trade-based measures of product variety, carrying the implication that these measures may represent technology. We study this implication by...

Im Rahmen des vom Bayerischen Wissenschaftsministerium geförderten Forschungsverbundes forost widmeten sich die Autoren zwei Jahre lang verschiedenen Aspekten von Vielfalt bzw. Diversität im Prozess der Europäisierung. Belegt wird, dass Diversität sowohl Chancen als auch Risiken für eine...

Trade policy has well documented effects on trade volumes. Reaching beyond volumes, I explore the impact of European emerging economies’ recent institutional trade liberalisation on extensive (i.e., the set of imported goods) versus intensive import margins (volumes per imported good) with...

VAT revenues in Ukraine are undermined by numerous privileges and low tax compliance due to manipulations and/or outright fraud causing inadequate tax collection and high tax refunds claims. Besides, there are both strong concerns about the vulnerability of the VAT system to corruption and...

Public investment can both serve socially useful purposes and be growth enhancing, if sufficient levels are allocated efficiently and if budgeting is managed properly. Public investment in Ukraine has recently risen from low to sufficient levels. Private participation in investment for socially...