Recent research on business investment decisions suggests that real investment in plant and equipment is quite sensitive to changes in the user cost of capital, pointing to the possibility that long-run changes in tax policy may have a significant impact on an economy's capital stock. Indeed,...

This paper presents an endogenous growth model of an open economy in which the growth rate of income is higher if foreign capital goods are used relatively more than domestic capital goods for the production of capital stock. Empirical results, using cross country data for the period 1960-85,...

Innovative activity is highly concentrated in a handful of advanced countries. These same countries are also the major exporters of capital goods to the rest of the world. We develop a model of trade in capital goods to assess its role spreading the benefits of technological advances. Applying...

This paper explores the impact of technological change on industry concentration and the underlying firm dynamics. In the agent-based model EURACE@Unibi I implement a paradigm shift in the technological frontier – a shift from a slow to a fast growing regime. The analysis shows that the...

Conventional wisdom has it that global financial markets were as well integrated in the 1890s as in the 1990s, but that it took several post-war decades to regenerate the connections that existed before 1914. This view has emerged from a variety of tests for world financial capital market...

In this paper we demonstrate the importance of distinguishing capital goods tariffs from other tariffs. Using exposure to a quasi-natural experiment induced by a trade reform in Colombia, we find that firms that have been more exposed to a reduction in intermediate and consumption input or...

International trade in capital goods has quantitatively important effects on economic development through capital formation and TFP. Capital goods trade enables poor countries to access more efficient technologies, leading to lower relative prices of capital goods and higher capital-output...

We show how uncertainty shapes the asset allocation, composition, productivity, and value of capital-intensive firms. We do so using detailed, near-universal data on shipping firms' new orders, secondary-market transactions, and demolition of ships. Firms curtail both the acquisition and...

This paper looks at the question of how import activities and productivity are related. Using detailed production and cost data from a panel of Mexican manufacturing plants between 1994 and 2003, the paper is able to differentiate between two types of imports, materials (or intermediate inputs)...

Samuelson extends the Ricardian theory of foreign trade to a model of small open economies in which countries can trade semi-finished capital goods on international markets, as well as produced consumer goods. He argues that this extension provides an additional gain from trade, which he labels...

International trade in capital goods has quantitatively important effects on economic development through two channels: capital formation and aggregate TFP. We embed a multi country, multi sector Ricardian model of trade into a neoclassical growth framework. Our model matches several trade and...

This paper studies the impact of input-trade liberalization on firms' decision to upgrade foreign technology embodied in imported capital goods. The empirical analysis is motivated by a simple theoretical framework of endogenous technology adoption, heterogeneous firms and imported inputs. The...

The current paper aimed to investigate the reasons for the technological and competitive heterogeneity in the machine tool industry in Brazil. By analyzing the trajectory of the sector, we can highlight three main reasons for such heterogeneity. First, due to the competitive framework that...

With the proposed applications, uncertainty of work order times can be taken into account for capacity planning, coordination and control to reduce or avoid the consequences of uncertainty. The method adds ranges to work load planning and defines the occurrence pro-bability for this range of...

This paper presents theory and evidence from Chinese firm-product data that, given firm productivity, trade liberalization increases product markups. This finding calls for a reconsideration of the well-established imports-as-market-discipline hypothesis. This paper further verifies underlying...

The sharp fluctuations of the ruble's exchange rate in the period 2014–2016 have not resulted in a reduction of the share of investment goods in the price structure of Russian imports. At the same time, domestic demand has visibly reoriented towards cheaper analogues. The recovery of imports...

This paper studies the impact of input-trade liberalization on firms' decision to upgrade foreign technology embodied in imported capital goods. The empirical analysis is motivated by a simple theoretical framework of endogenous technology adoption, heterogeneous firms and imported inputs. The...

Corporate sectors in emerging markets have noticeably increased their reliance on foreign financing, presumably reflecting low global interest rates. The evidence also shows a rebalancing from bank loans towards bonds. To study these developments, this paper develops a dynamic open economy model...

This thesis develops a modular tender preparation process for retrofit projects of complex investetment goods like ships, buildings or industrial plants in three steps: data preparation, solution finding and outcome provision. Several methods and adapted technological tools support this process...

This paper explores the impact of input trade liberalization on imported input and exported product prices. Using Chinese transaction data for 2000-2006, we capture causal effects between exogenous input tariff reductions and within firm changes in HS6-traded product prices. For identification,...

This paper presents theory and evidence from Chinese firm-product data that, given productivity, trade liberalization via input tariff reductions induces an incumbent importer/exporter to increase product markups. This finding calls for a reconsideration of the well-established...

Almost 80 percent of capital goods production in the world is concentrated in 10 countries. Poor countries import most of their capital goods. We argue that international trade in capital goods has quantitatively important effects on economic development through two channels: (i) capital...