Arbeitspapier

Multinational production and intra-firm trade

Intra-firm trade, from parents to affiliates, has been combined with standard models of multinational production (MP) to deliver gravity-style predictions for foreign affiliates' sales. Nonetheless, the evidence shows that intra-firm trade is concentrated among a small set of large multinational firms. Using firm-level data from 35 countries, we document that only firms belonging to multinational corporations (MNCs) in the upper tail of the firm's size distribution are significantly affected by the distance to their parents. We present a simple framework featuring MNCs' selection into intra-firm trade and derive the analytical gravity equations that are consistent with the empirical findings.

Sprache
Englisch

Erschienen in
Series: IDB Working Paper Series ; No. IDB-WP-1369

Klassifikation
Wirtschaft
Models of Trade with Imperfect Competition and Scale Economies; Fragmentation
Multinational Firms; International Business
Thema
Intra-firm trade
Multinational production

Ereignis
Geistige Schöpfung
(wer)
Alviarez, Vanessa
Saad, Ayhab
Ereignis
Veröffentlichung
(wer)
Inter-American Development Bank (IDB)
(wo)
Washington, DC
(wann)
2022

DOI
doi:10.18235/0004566
Letzte Aktualisierung
10.03.2025, 11:46 MEZ

Datenpartner

Dieses Objekt wird bereitgestellt von:
ZBW - Deutsche Zentralbibliothek für Wirtschaftswissenschaften - Leibniz-Informationszentrum Wirtschaft. Bei Fragen zum Objekt wenden Sie sich bitte an den Datenpartner.

Objekttyp

  • Arbeitspapier

Beteiligte

  • Alviarez, Vanessa
  • Saad, Ayhab
  • Inter-American Development Bank (IDB)

Entstanden

  • 2022

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