This paper investigates the relationship between China’s import competition and the innovation strategies of domestic firms. Using firm level data from Italy spanning 2005-2010 and employing IV fixed effects estimation techniques, we find that the impact of China’s import competition on...

This paper examines intermediation in production networks to unpack the firm attributes and matching costs that govern firm-to-firm networks and the gains from trade. Exploiting rich customs data for Chile, we show that exporters of all sizes use intermediaries, mix trade modes across buyers,...

Purpose The present paper aims to highlight how manufacturing expansions under conditions of increasing returns, which involve the growth of intermediate goods specializations, support advanced service employment. In addition, the increasing use of manufacturing products in services highlights...

The failure of newly independent Central Asian countries to diversify exports after the Soviet Union's collapse is attributed to high trade costs, either because these countries are landlocked or due to border delays and regulatory obstacles. This paper estimates the impact of the high costs of...

This paper empirically examines the impact of trade facilitation on the trade of intermediate goods in Korea, China, and Japan, along with their trading partner countries, during the period from 2008 to 2017. We particularly focus on the distinct roles of hard and soft environments in trade...

This Staff Memo presents an indicator used for monitoring and forecasting inflation at Norges Bank. The indicator is designed to capture international price impulses that impact the input costs of domestic firms. Our analysis indicates that the marked increase in the cost of imported...

We study how disruptions to the supply of foreign critical inputs (FCIs) - that is, inputs primarily sourced from extra-EU countries with highly concentrated supply, advanced technology products, or which are key to the green transition - might affect value added at different levels of...

Do technologies embedded in imports boost domestic productivity? This paper investigates empirically the role of complementarities between absorptive capacity and imports. Different import categories are combined with different proxies for absorptive capacity. The database covers 18...

Using a representative sample of firms in Belgian manufacturing over 2001Q1-2017Q4, we study the effects of their international sourcing activities and domestic wages on their domestic output prices, as well as the effects of international sourcing on (relative) domestic wages. Controlling for...

We separately observe variable input expenditure and expenditure on fixed inputs in novel firm-level data covering the Belgian manufacturing sector over the last decades. This permits a deeper investigation of two potential drivers of the globally observed widening gap between firms' revenue and...

Economic integration, encompassing the removal or reduction of trade barriers and the coordination of monetary and fiscal policies, plays a pivotal role in promoting cooperation among nations. This systematic literature review examines the role of global value chains (GVCs) in promoting economic...

We study how disruptions to the supply of foreign critical inputs (FCIs) - that is, inputs primarily sourced from extra-EU countries with highly concentrated supply, advanced technology products, or which are key to the green transition - might affect value added at different levels of...

We study how disruptions to the supply of foreign critical inputs (FCIs) -that is, inputs primarily sourced from extra-EU countries with highly concentrated supply, advanced technology products, or which are key to the green transition -might affect value added at different levels of...

Based on the "Statistical Classification of Digital Economy and Its Core Industries (2021)" published by the National Bureau of Statistics of China, this paper proposes a more accurate method to identify digital intermediate products by matching China Industrial Classification code with...

Logistics is an essential service for manufacturing because it supports the coordination and integration of global production activities, ultimately reducing costs and improving efficiency. However, it is not clear that the complex structural relationship between logistics and manufacturing...

The income share disparity between skilled and unskilled labor has been previously analyzed in relation to the elasticity of substitution between these factors and capital and changes in skill-biased technological changes. This study analyzes how the expansion of intermediate inputs affects...

This paper examines whether the short- and medium-term dynamic effects of tariff increases on intermediate goods differ from those on final consumer goods. To this end, the paper develops a three-country model with rigorous trade theory micro-foundations and some of the most common New Keynesian...

Brands can be one of a company's most valuable intangible assets and a lever to generate value. As a source of added value, a brand should be strategically built and managed. To fully take advantage of the benefits that the brand provides, it is necessary to propose a brand management strategy....

We analyze the location of final goods producers under spatial competition with strategic input price determination by firm-specific input suppliers when the final goods producers undertake complete outsourcing or bi-sourcing. Under complete outsourcing, the final goods producers locate closer...

Die wirtschaftliche Replizierbarkeit von Endkundenprodukten marktbeherrschender Unternehmen ist eine der Voraussetzungen für eine flexiblere Entgeltregulierung von Breitbandvorleistungen. Diese wird anhand des Economic Replicability Test (ERT) überprüft. Im Rahmen des ERT prüft die nationale...

In this paper, we zoom in on the firm level of German merchandise foreign trade, using a novel data base with information on the export and import value by firm, country, product and year for the period 2011-2019. Problems arising from the consolidated reporting of taxable entities and the...

The rise of economic protectionism worldwide has come with the re-emergence of mercantilist policies whereby governments push for exports while restricting imports. Against this populist approach, we show that importing inputs can raise productivity and export. Using firm-level data matched with...

This study designs a method to estimate the productivity of exported products by combining custom and firm survey data. To build a productivity link between imports and exports, we also estimate the contribution of import scope to productivity. By using micro data during trade liberalization in...

Does exporting intermediate goods induce learning from importers? In this paper, we examine to what extent learning from German industries can be explained by knowledge spillovers, channeled through the export of intermediate goods. Our study is based on a sample of 27 German trade partners in...

In order to understand the nature of firm market power in intermediate input and labor markets, we study the determinants of the prices that firms pay for their inputs. To do this, we use uncommonly rich and highly disaggregated administrative data for firms in the textile sector in the...

Ignoring strategic interactions among final goods producers, the extant theoretical literature shows that lower costs of imported inputs increase the exports of the final goods using those inputs. Hence, it does not explain the empirically relevant positive relationship between the costs of...

This paper considers that upstream monopoly firm sets input price discrimination (IPD) or uniform input pricing (UIP) in the quality competition market. The marginal cost is related to product quality. We find: When overall quality is low, the upstream firm will give a lower...