We present an international trade model with multiproduct firms. Firms are heterogeneously endowed with two types of capabilities that jointly determine the trade-off within firms between managing a large portfolio of products and producing at low marginal cost. The model can explain many of the...

Innovation processes within corporations increasingly tap into international technology sources, yet little is known about the relative contribution of different types of innovation channels. We investigate the effectiveness of different types of international technology sourcing activities...

Following Max Weber, many theories have hypothesized that Protestantism should have favored economic development. With its religious heterogeneity, the Holy Roman Empire presents an ideal testing ground for this hypothesis. Using population figures of 272 cities in the years 1300–1900, I find...

This paper explores the non-linear relationship between financial development and economic growth. It mainly relies on the Panel Smooth Transition Regression (PSTR) model of Gonzalés et al. (2005) and three metrics of financial development to endogenously assess the impact of financial...

In this book the author analyses three very important aspects of transition: human resources, foreign investments and financial sector. At the beginning there is an analysis of investments in human resources. It starts by definition and types of human resources, and continues with definition of...

This article analyzes the relationship between growth and income distribution in developing countries. Three important hypotheses are scrutinized: The U-hypothesis, the absolute income hypothesis and the hypothesis of conflict between growth and a more equal income distribution. After a review...

Foreign aid has evolved considerably over the last five decades in response to a dramatically changing global political and economic context. This paper takes a retrospective look at this process and discusses whether aid has been effective in furthering economic growth and development. The...

India’s series of economic reforms since 1991 have accelerated economic growth but not productivity. India’s productivity remained low compared to global but peers as well. High productivity is good for business, consumers and economy. Higher the productivity, higher the profit, lower the...

The aim of this paper is to empirically examine the relationship between Oil revenues, government spending and GDP growth in the kingdom of Bahrain. Oil revenues are the main source of financing government expenditures and imports of products. Increasing oil prices in the recent years have...

Given the decline in growth momentum in the manufacturing sector in many OECD countries, the role of knowledge-based capital has emerged as a key driver for sustained growth. While empirical studies on estimating knowledge spillovers have usually been undertaken at the country level, the...