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Financial Development and International Trade

Financial Development and International Trade
Author: Thorsten Beck
Publisher: World Bank Publications
Total Pages: 46
Release: 2001
Genre: Comercio exterior
ISBN:

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Economies with better developed financial sectors have a comparative advantage in manufacturing industries. A two-sector model shows the sector with large scale economies profiting more than the other from a well-developed financial sector. In countries with higher levels of financial development, manufactured exports represent a higher share of GDP and of merchandise exports, and those countries have a higher trade balance in manufactured goods.


Financial Development and International Trade

Financial Development and International Trade
Author: Thorsten Beck
Publisher:
Total Pages: 41
Release: 2016
Genre:
ISBN:

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Economies with better developed financial sectors have a comparative advantage in manufacturing industries. A two-sector model shows the sector with large scale economies profiting more than the other from a well-developed financial sector. In countries with higher levels of financial development, manufactured exports represent a higher share of GDP and of merchandise exports - and those countries have a higher trade balance in manufactured goods.Beck explores a possible link between financial development and trade in manufactures. His theoretical model focuses on the role of financial intermediaries in facilitating large-scale, high-return projects. Results show that economies with better developed financial sectors have a comparative advantage in manufacturing industries.He provides evidence for this hypothesis, first proposed by Kletzer and Bardhan (1987), using a 30-year panel of data for 65 countries. Controlling for country-specific effects and possible reverse causality, he shows that financial development exerts a large causal impact on the level of both exports and the trade balance of manufactured goods.This paper - a product of Finance, Development Research Group - is part of a larger effort in the group to understand the link between financial development and economic growth. The author may be contacted at [email protected].


2608. Financial Development and International Trade

2608. Financial Development and International Trade
Author: Beck
Publisher:
Total Pages:
Release: 1999
Genre:
ISBN:

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(May 2001) Economies with better developed financial sectors have a comparative advantage in manufacturing industries. A two-sector model shows the sector with large scale economies profiting more than the other from a well-developed financial sector. In countries with higher levels of financial development, manufactured exports represent a higher share of GDP and of merchandise exports--and those countries have a higher trade balance in manufactured goods. Beck explores a possible link between financial development and trade in manufactures. His theoretical model focuses on the role of financial intermediaries in facilitating large-scale, high-return projects. Results show that economies with better developed financial sectors have a comparative advantage in manufacturing industries. He provides evidence for this hypothesis, first proposed by Kletzer and Bardhan (1987), using a 30-year panel of data for 65 countries. Controlling for country-specific effects and possible reverse causality, he shows that financial development exerts a large causal impact on the level of both exports and the trade balance of manufactured goods. This paper--a product of Finance, Development Research Group--is part of a larger effort in the group to understand the link between financial development and economic growth. The author may be contacted at [email protected].


Growth and International Trade

Growth and International Trade
Author: Karl Farmer
Publisher: Springer Science & Business Media
Total Pages: 447
Release: 2013-02-01
Genre: Business & Economics
ISBN: 3642336698

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This textbook guides the reader towards various aspects of growth and international trade in a Diamond-type overlapping generations framework. Using the same model type throughout the book, timely topics such as growth with bubbles, debt reduction in rich countries and policies to mitigate climate change are explored . The first part starts from the “old” growth theory and bridges to the “new” growth theory (including R&D and human capital approaches). The second part presents an intertemporal equilibrium theory of inter and intra-sectoral trade and concludes by analyzing the debt mechanics inducing the huge imbalances among eurozone countries. The book is primarily addressed to graduate students wishing to proceed to the analytically more demanding journal literature.


International Economics, Finance and Trade - Volume II

International Economics, Finance and Trade - Volume II
Author: Pasquale Michael Sgro
Publisher: EOLSS Publications
Total Pages: 328
Release: 2009-07-30
Genre:
ISBN: 1848261853

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International Economics, Finance and Trade is the component of Encyclopedia of Development and Economic Sciences in the global Encyclopedia of Life Support Systems (EOLSS), which is an integrated compendium of twenty one Encyclopedias. The subject matter of international economics and finance includes all transactions that cross national boundaries including trade in goods and services, capital and labor markets and transactions in financial assets. The chapters in these volumes are organized into six topics. The first topic starts with several chapters dealing with the 'core' theory in international economics and finance. The second topic presents with several chapters dealing with balance of payments and exchange rates and again emphasis is placed on the evolution of the various approaches. The third topic focuses on the International Financial Architecture, that is the intentional institutions such as the IMF, World bank and the various groupings of countries such as the G7 and G22, which have been set up to facilitate international trade and economic development .The fourth topic deals with a detailed looked at multinational Banking and Global Capital markets, including the role, if any, of regulation of capital markets and the Banking sector. The fifth topic looks at the strategic developments in international trade and issues of globalisation and international trade law as well as the use of terms such as “strategic trade policy” as a way of disguising trade protectionist arguments. The final topic deals in detail with environmental regulations, policy and property rights and their role in sustainable development. These two volumes are aimed at the following a wide spectrum of audiences from the merely curious to those seeking in-depth knowledge: University and College students Educators, Professional practitioners, Research personnel and Policy analysts, managers, and decision makers and NGOs.


Economic Growth and Financial Development

Economic Growth and Financial Development
Author: Muhammad Shahbaz
Publisher: Springer Nature
Total Pages: 245
Release: 2021-09-21
Genre: Business & Economics
ISBN: 3030790037

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This book looks into the relationship between financial development, economic growth, and the possibility of a potential capital flight in the transmission process. It also examines the important role that financial institutions, financial markets, and country-level institutional factors play in economic growth and their impact on capital flight in emerging economies. By presenting new theoretical insights and empirical country studies as well as econometric approaches, the authors focus on the relationship between financial development and economic growth with capital flight in the era of financial crisis. Therefore, this book is a must-read for researchers, scholars, and policy-makers, interested in a better understanding of economic growth and financial development of emerging economies alike.


Financial Dependence and International Trade

Financial Dependence and International Trade
Author: Thorsten Beck
Publisher: World Bank Publications
Total Pages: 33
Release: 2001
Genre: Comparative advantage (International trade)
ISBN: 4012916351

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Does financial development translate into a comparative advantage in industries that use more external finance? Yes, it does.


Financial Development and International Trade

Financial Development and International Trade
Author: Fernando Leibovici
Publisher:
Total Pages: 41
Release: 2018
Genre:
ISBN:

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This paper studies the industry-level and aggregate implications of financial development on international trade. I set up a multi-industry general equilibrium model of international trade with heterogeneous firms subject to financial frictions. Industries differ in capital-intensity, which leads to differences in external finance dependence. The model is parameterized to match key features of firm-level data. Financial development leads to substantial reallocation of international trade shares from labor- to capital-intensive industries. At the aggregate-level, there are moderate effects under international financial integration, but negligible under international financial autarky. These findings are consistent with estimates from cross-country industry- and aggregate-level data.


Economic Growth with Equity

Economic Growth with Equity
Author: José Luis Machinea
Publisher: Springer
Total Pages: 262
Release: 2006-11-28
Genre: Business & Economics
ISBN: 0230800912

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This book analyses the development challenge faced by Latin America at a time at which the concerns for the large inequality in the region are at a peak. This volume focuses on growth-with-equity, and is written by an outstanding group of Latin American and international researchers and policy-makers.


International Trade and International Finance

International Trade and International Finance
Author: Malabika Roy
Publisher: Springer
Total Pages: 586
Release: 2016-05-26
Genre: Business & Economics
ISBN: 8132227972

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This book brings together a collection of papers on international trade and international finance, instead of treating the two as disjoint fields of study. The volume, while focusing on the recent developments and frontiers of research in international trade and international finance, also emphasizes the inherent integrated nature of the two subjects; some of the papers are overlapping across the two areas. A unique feature of the proposed volume is that it unravels some new issues in addition to re-examining certain old issues in a new perspective and thus covers wide ranging issues with an emphasis on policy. The book covers issues mostly relating to emerging market economies, which has increasingly assumed importance in the context of globalization. The book contains some survey papers covering the frontiers of current knowledge on important themes like recent developments in trade theory and empirics, foreign exchange market, institutions in trade and finance, interrelation and interaction between international trade and international finance. The papers, fruit of rigorous and original research, are written by internationally and nationally reputed authors along with promising young researchers on the subjects. The book substantially contributes to the growing literature on issues relating to trade and international finance in emerging market economies and extends the frontiers of knowledge. The book is expected to have the widest possible readership comprising of advanced undergraduate and graduate students as well as senior researchers working in international trade and international finance.