Finance, Comparative Advantage, and Resource Allocation

Research, Preprint OPEN
Jaud Melise ,; Kukenova Madina; Strieborny Martin;
  • Publisher: FIW - Research Centre International Economics Vienna
  • Subject: G30 | resource misallocation; …nance; comparative advantage; export survival | F11 | G21 | resource misallocation | Markets and Market Access,Economic Theory&Research,Banks&Banking Reform,Debt Markets,Inequality | comparative advantage | export survival | Resource misallocation; finance; comparative advantage; ex-port survival | O16 | financial development; resource misallocation; comparative advantage | finance
    • jel: jel:G30 | jel:F11 | jel:G21 | jel:O16
      ddc: ddc:330

We show that exported products exit the US market sooner if they violate the Heckscher-Ohlin notion of comparative advantage. Crucially, this pattern is stronger when exporting country has a well-developed banking system, measured by a high ratio of bank credit over the... View more
  • References (34)
    34 references, page 1 of 4

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