International Economics Commons^™

Energy Price Shocks And External Balances, Bao Tan Huynh

Research Collection School Of Economics

This paper studies the impact of a wide set of energy price shocks on exter- nal balances using a two-country framework comprising multiple sectors and en- dogenous energy production with convex costs. The paper disentangles different demand and supply shocks in the energy market through their distinct impact on external balances. It provides a theoretical confirmation of Kilian et al. (2009) and a theoretical foundation to the determining role of the non-energy trade balance in the transmission of energy price shocks. The presence of durables also highlights the immediate channel through which energy prices impact the non-energy trade balance.

The Golden Straightjacket Is Out Of Style, Lacey Germana

Best Integrated Writing

Germana’s review of Thomas Friedman’s The Lexus and the Olive Tree provides careful summary and critique of Friedman’s argument and passionately calls for a balance between increased standards of living and careful stewardship of the earth.

The Distribution Of Globalized Power, Rachel Canter

Best Integrated Writing

Canter reviews Thomas Friedman’s The Lexus and the Olive Tree and observes the dissonance between our notions of globalization and global society; she offers an alternate worldview that pays respect to regional cultures and values.

Do Immigrants Affect The Profiles Of Us Exporters?, Roger White, Bedassa Tadesse

Economics

We highlight that an increase in the stock of immigrants corresponds with greater numbers of U.S. firms that engage in exporting to foreign markets. Our results are obtained from the estimation of a multi-level mixed effects model. Overall, the effect of immigrants is relatively larger among small- and medium-sized enterprises and is smaller among large-sized enterprises. There are, however, considerable differences, both in the magnitude and in nature of the observed effects of immigrants on manufactured and non-manufactured goods exporters of comparable size categories. Similarly, heterogeneity is found in the effects of immigrants on the numbers of small-, medium-, and …

Global Economic Expansion And The Prevalence Of Militarized Interstate Disputes, Lucas Hahn

Honors Projects in Economics

Over the past several decades the entire world has experienced both the positive and negative effects of globalization. The question that this report will address is whether or not global economic expansion has led to a decline in the prevalence of militarized interstate disputes (MIDs) and what factors influence the prevalence of MIDs. This report will take an in-depth look at Thomas Friedman’s “Golden Arches Theory of Conflict Prevention”. It also includes a quantitative analysis in which regression techniques were used to see how different economic factors influence the prevalence of MIDs, while also introducing a previously unused independent variable …

The Impact Of Geopolitical Factors On The Future Economic Integration Of Asean +3, Michael Corrigan

Independent Study Project (ISP) Collection

East and Southeast Asia have benefited greatly from China’s growth and are gaining significantly more economic and political power in comparison to the West. The growing interdependence in this region has led to the continuing economic integration of the ASEAN Plus Three countries. The research paper analyzes the geopolitical factors that impact this integration, such as historical tension, regional security conflicts, social, cultural and economic differences, as well as economic rivalries. In addition, the strategic agendas of the main actors, including the U.S., are analyzed to provide a comprehensive argument concerning the impact these geopolitical factors will have on future …

Envisioning A Future For Ethiopian Small Farmer Involvement In Development And Food Security, William H. Cauffman

Student Publications

In this paper I attempt to answer the question of how small-scale Ethiopian farmers can best participate in, contribute to and benefit from the development process. In addition, I seek to clarify the implications and potential nature of local food systems and their ability to achieve greater food security through small farmer involvement. Modern development ideology often focuses on large scale projects and export-led growth, ignoring the importance of smallholder farmers and rural vitality. These farmers are increasingly marginalized through this process. In Ethiopia 85% of the population is employed in the agricultural sector, the majority being small farmers that …

Globalization Of Taste And Modernity: Tracing The Development Of Western Fast Food Corporations In Urban China, Anastasia Gonchar

Student Publications

Food globalization has become an important topic in the discourse on globalization. There has been a rapidly rising trend of multinational food corporations integrating and dominating foreign agro-food markets. A clear example of this trend is present in China, whose economy and food industry experienced an influx of foreign direct investment and multinational retail and restaurant branches during the country’s economic opening in the 1980s. The aim of this research is to analyze the development of food globalization through the lens of Western fast food corporations and their successful integration into the Chinese market. The research also assesses the companies’ …

Mexico Consensus Economic Forecast, Volume 19, Number 2, Thomas M. Fullerton Jr., Adam G. Walke

Border Region Modeling Project

No abstract provided.

Macroeconomic Effects Of Energy Price Shocks On The Business Cycle, Bao Tan Huynh

Research Collection School Of Economics

This paper proposes a framework of endogenous energy production with convex costs to investigate the general equilibrium effects of energy price shocks on the business cycle. This framework explicitly models the consumption of durables and nondurables and implements a high complementarity between energy and the usage of durables and capital. The model predicts energy price elasticities of various consumption variables that fall within reasonable agreement with empirical estimates. Convex costs in energy production produce energy price and energy supply dynamics that tallies well with empirical behavior. Our analysis confirms in a theoretical setting recent observations that not all energy price …

Empirical Estimation Of Optimal International Reserves For Nigeria: The Sudden Stop Model, G.K. Sanni, T.S. Olusegun, Z. Sani

Economic and Financial Review

The study examined the issue of optimum external reserves for Nigeria during 2010 - 2014, using Jeanne and Ranciere (2006) and Goncalves (2007) sudden stop model approach. The study showed that resident foreign currency deposit accounted for over 90 per cent of the total foreign currency deposit, while non-resident foreign currency deposit accounted for the remaining. The result of the model suggested that external reserves were adequate in 2010 but beyond that period, it was far below optimal level. On average, the optimum external reserves were around 15.7 per cent of GDP in the past four years, translating to US$54.52 …

Empirical Estimation Of Optimal International Reserves For Nigeria: The Sudden Stop Model, G. K. Sanni, T. S. Olusegun, Z. Sani

Economic and Financial Review

The study examined the issue of optimum external reserves for Nigeria during 2010 – 2014, using Jeanne and Ranciere (2006) and Goncalves (2007) sudden stop model approach. The study showed that resident foreign currency deposit accounted for over 90 per cent of the total foreign currency deposit, while non-resident foreign currency deposit accounted for the remaining. The result of the model suggested that external reserves were adequate in 2010 but beyond that period, it was far below optimal level. On average, the optimum external reserves were around 15.7 per cent of GDP in the past four years, translating to US$54.52 …

Optimal International Agreement And Restriction On Domestic Efficiency, Gea M. Lee

Research Collection School Of Economics

The WTO's strict treatment of domestic subsidies has not been well received in the existing literature. An essential reason is that the consequent restriction on domestic efficiency is hardly compatible with the existing theory of government intervention under which the primary objective of using domestic subsidies, domestic efficiency, is not sacrificed for another objective. We develop a trade-agreement model in which the magnitude of a legitimate domestic subsidy with which to address a production externality is private information. We find that an optimal agreement substantially restricts domestic efficiency for the international objective of expanding market access.

Subsidies And Countervailing Duties, Gea M. Lee

Research Collection School Of Economics

This survey pays attention to a recent development of the literature that analyzes two important regulatory features found in the Agreement on Subsidies and Countervailing Measures (the SCM agreement): the restrictive treatment of domestic subsidies and the general prohibition of export subsidies. The WTO's restriction on domestic subsidies is challenged by the existing terms-of-trade theory that offers an efficiency foundation for the market-access focus of the GATT rules. On the other hand, against the backdrop of the SCM agreement and preferential trade agreements (PTAs), a recent literature attempts to provide a rationale for the WTO to restrict the use of …

Prices, Markups, And Trade Reform, Jan De Loecker, Pinelopi K. Goldberg, Amit K. Khandelwal, Nina Pavcnik

Dartmouth Scholarship

This paper examines how prices, markups, and marginal costs respond to trade liberalization. We develop a framework to estimate markups from production data with multi‐product firms. This approach does not require assumptions on the market structure or demand curves faced by firms, nor assumptions on how firms allocate their inputs across products. We exploit quantity and price information to disentangle markups from quantity‐based productivity, and then compute marginal costs by dividing observed prices by the estimated markups. We use India's trade liberalization episode to examine how firms adjust these performance measures. Not surprisingly, we find that trade liberalization lowers factory‐gate …

Ocean Economy Valuation Studies In The Asia-Pacific Region: Lessons For The Future International Use Of National Accounts In The Blue Economy, Alistair Mcilgorm

Journal of Ocean and Coastal Economics

There have been several projects that have addressed the challenges of measuring the ocean economy in the Asia-Pacific region. The paper examines some lessons from these projects and the implications for the future use of national accounts.

Following the Asia Pacific Economic Cooperation (APEC) Bali declaration, the APEC Marine Resource Conservation Working group’s “Measuring the Marine economy” project promoted consistent measurement of the marine economy across the 21 APEC economies against a list of agreed marine industry categories which was developed by an APEC workshop on Easter Island in 2004.

In 2008-09 a Partnership for the Environmental Management of the …

Geopolitics Of The 2015 British Defense White Paper And Its Historical Predecessors, Bert Chapman

Libraries Faculty and Staff Scholarship and Research

On November 23, 2015 the United Kingdom (UK) released a defense white paper detailing its national security strategic objectives. This work examines the geopolitical, economic, and strategic implications of this document and compares it with recent and historical defense white paper documents issued by the British government. It scrutinizes the text of these documents and relevant scholarly literature analyzing them while also examining the national security threats facing the UK at the time of their issuance and assesses whether the 2015 document will be supported with requisite political will, military personnel, and financial support to carry out its objectives

Is Urban Food Demand In The Philippines Different From China?, Tomoki Fujii

Research Collection School Of Economics

Food is an essential good, and thus understanding its demand is important for the formulation of sound agricultural policies and developing sustainable agricultural business. A timely analysis of food demand is important because it can change over time not only because prices and incomes change but also because people’s taste itself also change. However, even in countries where food accounts for a sizable share of expenditure or where the agricultural sector accounts for a large share of output, careful analysis of food demand is often not readily available. In this study, we analyze the food demand in urban Philippines and …

Exploring Economic And Social Factors That Increase Economic And Well-Being Measurements Of Developing And Developed Countries, Kofi D. Boadu

Undergraduate Economic Review

The historical growth paths of developed and developing countries reveal the challenges that developing countries face in traveling the road from poverty to prosperity. Based on economic development literature, economic theory, and ordinary least squares (OLS) regression method, this research considers whether or not, and to what extent globalization characteristics, foreign direct investment levels (FDI), secondary school enrollment rates, information communication technology (ICT) as a percentage of trade imports, and happiness levels of 103 developing and developed countries, impact their GDP per capita levels. This paper will also take a look at alternative ways of viewing and measuring economic success.

Covered Interest Parity Empirical Analysis Of Non-Traditional Monetary Policy's Effects On Exchange Rates, Tyler Salminen

Inquiry: The University of Arkansas Undergraduate Research Journal

This research sought to find an economically justifiable relationship between non-traditional monetary policies of the Bank of Japan and the Federal Reserve and the dollar/yen exchange rate. This research utilized the covered interest parity condition in conjunction with a partial least squares structured equation analysis in order to discern any possible relationships between these two phenomenon. A solid relationship between the non-traditional monetary policies of these central banks and dollar/yen exchange rate was found. In order to analyze significance, direction, and nature of this relationship this research followed up the partial least squares analysis with bootstrap structural equation modeling. Because …