Osaka Workshop on Economics of Institutions and Organization (#149)

Date:  Friday, December 16, 2022 13:30 to 15:00
＊This seminar will be held as a Zoom Meeting.
Please contact【[encode]yuri-kitabayashi(a)iss.u-tokyo.ac.jp[/encode] 】in advance, if you want to participate in the meeting.

Presenter:
Ryoji Ohdoi
(School of Economics, Kwansei Gakuin University)

Title: “A heterogeneous-firm model of trade and growth with country-specific credit constraints”
[su_quote cite=”Abstract：Ryoji Ohdoi”]How does the international asymmetry in the degree of credit market imperfections affect patterns of trade, financial flows, and the growth rate? To investigate this issue in a unified framework, in this study we introduce financial frictions into an asymmetric two-country model of trade, growth, and firm heterogeneity. Owing to asymmetric countries, the market size for the tradable goods in each country is endogenously determined. Main results are summarized as follows. First, unilateral relaxation of credit constraints in one country enlarges the market size for the tradable goods in that country. Second, such a change in the market size facilitates elimination of unproductive firms even in the other country. Third, then, even unilateral relaxation of credit constraints increases the both countries’ common long-run growth rate.[/su_quote]

• 共催：東京大学社会科学研究所 & IPP研究会
• 問合せ： 東京大学社会科学研究所 中林真幸研究室