Holdings: Globalization and Relocation in a Vertically Differentiated Industry

Globalization and Relocation in a Vertically Differentiated Industry:

This paper uses a vertical differentiation duopoly framework to analyze firms' relocation decisions, when the removal of trade barriers or restrictions on capital outflows or inflows ("globalization") allows them to serve the domestic market through foreign plants in low-wage countrie...

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Main Author:	Grilo, Isabel (Author)
Format:	Electronic eBook
Language:	English
Published:	Washington, D.C International Monetary Fund 1998
Series:	IMF Working Papers Working Paper No. 98/48
Online Access:	UBW01 UEI01 LCO01 SBR01 UER01 SBG01 UBG01 FAN01 UBT01 FKE01 UBY01 UBA01 FLA01 UBM01 UPA01 UBR01 FHA01 FNU01 BSB01 TUM01 Volltext
Summary:	This paper uses a vertical differentiation duopoly framework to analyze firms' relocation decisions, when the removal of trade barriers or restrictions on capital outflows or inflows ("globalization") allows them to serve the domestic market through foreign plants in low-wage countries. The relocation of the entire industry yields net welfare costs, but the relocation of one (and only one) firm, may be welfare improving. When the economy is "high-(or low-) quality biased," the relocation of the firm producing the high- (or low-) quality variant is preferred, on welfare terms, to that of other firms, if the wage differential is large enough
Physical Description:	1 Online-Ressource (20 p)
ISBN:	1451846711 9781451846713

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spelling	Grilo, Isabel Verfasser aut Globalization and Relocation in a Vertically Differentiated Industry Grilo, Isabel Washington, D.C International Monetary Fund 1998 1 Online-Ressource (20 p) txt rdacontent c rdamedia cr rdacarrier IMF Working Papers Working Paper No. 98/48 This paper uses a vertical differentiation duopoly framework to analyze firms' relocation decisions, when the removal of trade barriers or restrictions on capital outflows or inflows ("globalization") allows them to serve the domestic market through foreign plants in low-wage countries. The relocation of the entire industry yields net welfare costs, but the relocation of one (and only one) firm, may be welfare improving. When the economy is "high-(or low-) quality biased," the relocation of the firm producing the high- (or low-) quality variant is preferred, on welfare terms, to that of other firms, if the wage differential is large enough Online-Ausg Cordella, Tito Sonstige oth http://elibrary.imf.org/view/IMF001/00004-9781451846713/00004-9781451846713/00004-9781451846713.xml Verlag URL des Erstveröffentlichers Volltext
spellingShingle	Grilo, Isabel Globalization and Relocation in a Vertically Differentiated Industry
title	Globalization and Relocation in a Vertically Differentiated Industry
title_auth	Globalization and Relocation in a Vertically Differentiated Industry
title_exact_search	Globalization and Relocation in a Vertically Differentiated Industry
title_exact_search_txtP	Globalization and Relocation in a Vertically Differentiated Industry
title_full	Globalization and Relocation in a Vertically Differentiated Industry Grilo, Isabel
title_fullStr	Globalization and Relocation in a Vertically Differentiated Industry Grilo, Isabel
title_full_unstemmed	Globalization and Relocation in a Vertically Differentiated Industry Grilo, Isabel
title_short	Globalization and Relocation in a Vertically Differentiated Industry
title_sort	globalization and relocation in a vertically differentiated industry
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