International Economics Commons^™

Restructuring And Forgiveness In Financial Crises A: The Mexican Peso Crisis Of 1994-95, Christian M. Mcnamara, June Rhee, Andrew Metrick

Journal of Financial Crises

Following a year in which repeated political turmoil sapped investor confidence in Mexico, putting pressure on the peso and draining the country’s foreign exchange reserves, on December 22, 1994, the Mexican government sparked a financial crisis by unexpectedly abandoning its policy of anchoring the peso to the US dollar and instead allowing it to float freely. The resulting collapse of the peso left Mexico with $40 billion to $50 billion in external debt (much of it dollar-indexed) coming due in the near term and almost no foreign exchange reserves. Faced with the prospect that Mexico would either default on its …

Environmental Regulations And Foreign Direct Investment, Valri Nesbit

Student Papers in Local and Global Regional Economies

I am writing a literature review of whether stronger environmental regulations affects foreign direct investment (FDI). Logic would tell you that the FDI would go to those countries that have lower environmental regulations because this results in lower costs to the corporation overall. I am a firm believer that corporations meet the definition of a sociopath: “a person…whose behavior is antisocial and who lacks a sense of moral responsibility or social conscience.”¹ Therefore, my belief is that these sociopathic corporations, which are deemed to be people pursuant to Santa Clara County v. Southern Pacific Railroad Company,² will continue …

La Importancia De Los Espacios: Conociendo Los Espacios En Línea Creado Por Los Haitianos Y Organizaciones Haitianas En Chile, Juan Avilez

Independent Study Project (ISP) Collection

The state of Haitian migrants in Chile has often been studied through a lens of understanding the reasons for migratory flows and their effects on labor markets within the context of the Chilean state. Notable studies such as that of Pedemonte in 2015 studying the matrixes of exclusion of Haitian migrants in Chilean culture and that of Tijoux in 2015 studying the effects of racism and a neoliberal system on migrants, have adopted to explore the adoption of Haitian migrants to Chilean culture and detail the challenges and ways of community building that the Haitian population in Chile has adapted. …

¿Buscando Estabilidad Y Encontrando Crisis? Jóvenes Venezolanos En El Estallido Social Chileno, Carmen Rio Vescia

Independent Study Project (ISP) Collection

Chile has long been recognized in Latin America as an island of political and economic stability, but in October of 2019, a student-led mass evasion of the Santiago metro sparked what has since been coined the ‘estallido social,’ or ‘social explosion.’ Protestors across the country representing a wide range of social movements are demanding myriad reforms to what they deem a broken neoliberal system rooted in policies created during Pinochet’s dictatorship. Current president Sebastián Piñera’s government first responded by declaring a state of emergency. The state leveraged the power of a militarized police force (los Carabineros de Chile) to quell …

Import Tariffs And The Flow Of Counterfeit Goods Into The United States, Avery S. Thomson

Student Papers in Local and Global Regional Economies

The world of counterfeit goods is diverse and has grown rapidly throughout the years. The boom of e-commerce has resulted in a devastating increase in the shipment of small packages into the United States, making it easier for every day consumers to be fooled by counterfeiting masterminds. Counterfeit goods are not limited to fake watches and designer purses offered on the streets of Los Angeles or New York City anymore, instead the market has expanded to include many goods like consumer electronics, footwear, apparel, cosmetics, and even medicines and personal care items. Advances in technology at border control points, advertising …

Foreign Direct Investment And Environmental Regulations, Kiel Hawk

Student Papers in Local and Global Regional Economies

For the longevity of our species as well as much of the biodiversity that remains, understanding the environmental impact of our decisions is paramount. We are amid the 6th mass extinction in the Earth’s history, and unlike the previous five this one’s on us. Having transgressed from the Holocene to the Anthropocene, we have found ourselves in an era that has lost many of the ecological features that has enabled our species to live such high standards of living, for wealth is dependent on that which nature provides. Over the past several decades, beginning around the 1970’s, we have been …

Alimentando A México: Los Movimientos Indígenas Y Agrícolas Contra Las Políticas Neoliberales, Sofia Buchler

Independent Study Project (ISP) Collection

Para analizar la complejidad de la agricultura en México en este momento, es necesario analizar las políticas neoliberales de México. El Tratado de Libre Comercio de América del Norte (TLCAN) marca un punto de inflexión para la privatización de las tierras agrícolas y los cambios de la dieta mexicana. Las políticas de los últimos cuarenta años han destruido la dieta de la milpa en México y la tradición del policultivo. Los cambios en la agricultura han destruido el suelo, y forzado a los pequeños agricultores a abandonar sus tierras y buscar trabajos diferentes. Hay una gran historia de resistencia indígena …

Foreign Direct Investment And Industrial Agglomeration: Evidence From China, Wen-Tai Hsu, Yi Lu, Xuan Luo, Lianming Zhu

Research Collection School Of Economics

This paper studies the effect of foreign direct investment (FDI) on industrial ag-glomeration. Using the differential effects of FDI deregulation in 2002 in China on different industries, we find that FDI actually affects industrial agglomeration neg-atively. As FDI brings technological spillovers and various agglomeration benefits, other forces must be at work to drive our empirical finding. We propose a simple theory that FDI may discourage industrial agglomeration due to fiercer competition pressure. We find various evidence on this competition mechanism. We also examine an alternative theory based on spatial political competition, but find no evidence sup-porting it. On industrial growth, …

The Impact Of American Economic Aid On Post-World War Ii Germany, Gabriella Barber, Emily T. Carlstrom

Senior Theses

This paper examines the state of Germany immediately after World War II, describing how the American government intervened in West German reconstruction. It analyzes three specific German companies that overcame hardship in the 1940s and 50s and have become powerhouses today. Additionally, an overview of the current German economy shows how the country is positioned as a world leader.

Research was conducted using literary print sources, scholarly internet databases, and a formal interview with Klaus Becker, Honorary Consul to Germany. He is a German-American businessman who has held roles in several non-political associations, including President of the Charlotte World Trade …

Trade Financing In Emerging Markets, Jamie L. Morris

Senior Theses

Businesses need capital to initiate trades, drive growth, and produce profit, but unfortunately, not all companies can access to capital easily. Small and medium-sized enterprises (SMEs), although critical to the global economy, typically have trouble funding trades because of a lack of creditworthiness. This problem worsens for SMEs in emerging markets in volatile economies with political instability (“Trade finance and SMEs” 2016, p.11-21). In this study, we analyze how third-party trade finance companies can help finance trades more easily for SMEs in eight (8) emerging markets: Kenya, Rwanda, Ethiopia, Chile, Peru, Thailand, Cambodia, and Indonesia. We use a unique source …

The Sustainability Of Child Protection Services In The Republic Of Kosovo, Shpetim Bylykbashi

Capstone Collection

Today, in Kosovo, are services provided for the children most in need sustainable? Do these services have stable and long-term funding? Did the decentralization of the Kosovo government strengthen or weaken the existing child protective environment? In an attempt to answer these questions, a review of available literature was completed, as well as direct interviews conducted with relevant stakeholders engaged in Kosovo’s child protection services at both the governmental and civil society levels. The main finding of my research is that vulnerable children in Kosovo, such as children without parental care, children with special needs, and child victims of domestic …

Short Notes On The Economy During The Covid-19 Crisis, Asma Hyder (Ed.)

Faculty Research - Books

The coronavirus – COVID-19 – pandemic has had a huge, catastrophic, impact on the global economy and on economies of almost all countries. Even those countries which were posting record-breaking profits just four weeks ago, such as the US and Germany, are now faced with a substantial fall in incomes, earning, employment and profits. From record low unemployment levels, these countries are already projecting a huge spike in unemployment, and all indicators suggest that a global recession is now imminent.

Exploring The Effects Of International Wage Differences On Brain Drain, Austin Martin

Undergraduate Economic Review

This paper examines how international wage differences affect brain drain by comparing the effects of skill-specific wage differences on low, medium, and high-skilled emigration. Previous literature explores qualitative factors behind migrant flow, but there is little focus on the role of wage differences in individuals’ decisions to emigrate. A relatively new data set on emigration rates by education level and a modified gravity model provide a unique analysis of bilateral migration flows. This paper finds that wage differences may have a significant and positive effect on and low-skilled emigration, but a less significant effect on high-skilled emigration or brain drain.

The Political Economy Of Inequality: U.S. And Global Dimensions, Sisay Asefa Editor, Wei-Chiao Huang Editor

Upjohn Press

The contributors to this book discuss a variety of forms of social inequality which include large gaps in accumulated assets, discrepancies in access to quality education, unstable family life, lack of access to banking services, poor employment prospects, lack of health care services, and underrepresentation for political and legal matters. Together, they show how these forms of inequality are interrelated with income inequality and that, taken together, they pose the risk for societal and political unrest should they be left unresolved.

Integration Of And Deliveries Among The World Zionist Organization, Israel, And Diaspora Countries: System Articulation With The Social Fabric Matrix, F. Gregory Hayden

Department of Economics: Faculty Publications

The religious economics (not economics of religion) concern here is the relationship between the World Zionist Organization (WZO) and Israel, which is known as a geopolitical power in its region and which is also known as an economic success story. Joseph Schumpeter and Karl Polanyi explained how the political economy of medieval Europe was influenced and guided by Christian morality. This paper extends the analysis of religious economics by using the social fabric matrix of original institutional economics to define and structure the integration of the WZO, Israel, and the Diaspora countries. This allows us to observe how to conduct …

Portfolio Capital Inflows And Banking Crisis In Emerging Market And Developing Economies (Mdes): Bank-Level Evidence From Nigeria, Tijjani Mohammed Jume

Bullion

The objective of the paper is to assess the effects of foreign portfolio capital surge on the banking sector in Nigeria from 2005 - 2018. Using a simple trend analysing a static general equilibrium framework, the paper reveals that portfolio capital inflows, in the wake of monetary policy independence in Nigeria, led to portfolio capital surge which resulted to credit boom and speculative transactions in the Nigerian Stock Exchange (NSE) leading to assets price bubble. When the bubble burst during the global financial crisis (GFC) in 2007, and thereafter in 2014, portfolio capital inflows reversed and banking stocks prices declined …

Sustainable Cooperation In International Trade: A Quantitative Analysis, Yuan Mei

Research Collection School Of Economics

How does the presence of multilateral institutions affect the sustainability of trade-policy cooperation? Do free-trade agreements make multilateral cooperation less sustainable? Will countries be more likely to deviate from negotiated tariffs when more trade liberalization realizes in the future? These questions have been studied in theory literature using models that feature repeated games, but have yet to be quantitatively analyzed. In this paper, I propose a methodology to quantitatively characterize the equilibrium strategies on tariffs of various nations in a widely used repeated-game framework. I then apply this methodology to address these questions from a quantitative perspective. The numerical results …

A Computable General Equilibrium Modeling Of The Economic Effects Of Reducing Non-Tariff Measures In The Malaysian Food Sector, Siew Hoon Yew

Student Works (2020-2029)

The Malaysian food processing sector is highly regulated with non-tariff measures (NTMs), and particularly with standard NTMs applied to imports. Though these measures are used for legitimate reasons such as health and safety, some appear to have been instituted for political reasons and serve as “hidden” barriers to trade, given this sector is highly import intensive. This sector is therefore considered to be over regulated and it is argued that a reduction of restrictive NTMs and non-tariff barriers (NTBs) is needed to facilitate trade. Since NTMs, in general, are opaque and less transparent relative to tariffs, they pose a significant …

Essays On Anomalies In International Equity Markets, Xiao Cheng

Dissertations, Theses, and Capstone Projects

This dissertation consists of three chapters related to empirical asset pricing in the international stock market.

Chapter 1: "Loss of International Sales and Stock Performance" Using international firm-level data from 1990-2015, I show that when global firms' total international sales drop to zero, this conveys an important signal about future firm operations. An equal-weighted portfolio that sells stocks of firms that completely lost international sales and buys stocks of global firms earns up to 86 basis points per month (over 10% per year). This return predictability cannot be explained by the Fama-French international three- or five-factor models. Further examination suggests …

Essays On Macroeconomic Uncertainty And Capital Flows, Luis E. Silva-Yanez

Dissertations, Theses, and Capstone Projects

This dissertation studies the effects of uncertainty shocks in emerging economies in a context where these economies increased their participation in international financial markets. The first chapter provides a review of the literature on how the study of uncertainty shocks recently became more relevant as a result of higher financial integration experienced by emerging economies. The second chapter aims to investigate the quantitative effects on key domestic macroeconomic variables of implementing a foreign reserves accumulation policy with full sterilization. It extends an asymmetric two-country model by introducing a global interbank market and an active domestic central bank. The goal of …