scholarly journals Strategic Investment in an International Infrastructure Capital: Nonlinear Equilibrium Paths in a Dynamic Game between Two Symmetric Countries

Mathematics ◽  
2020 ◽  
Vol 9 (1) ◽  
pp. 63
Author(s):  
Akihiko Yanase ◽  
Ngo Van Long
Keyword(s):  
World Economy ◽  
Dynamic Equilibrium ◽  
Public Investment ◽  
Dynamic Game ◽  
Threshold Level ◽  
Trade Costs ◽  
Trade Patterns ◽  
The World ◽  
National Welfare ◽  
Over Time

This paper develops a two-country model of intra-industry trade with trade costs that can be reduced by public investment in an international infrastructure capital, the stock of which accumulates over time. Depending on the trade costs and international distribution of manufacturing firms, equilibrium patterns of trade are determined, and national welfare in each country is affected by these trade patterns. Taking into account the relationship between trade costs and national welfare, the governments carry out a dynamic game of public investment. We show that the dynamic equilibrium of the policy game may exhibit history dependency; if the initial stock of international infrastructure is smaller (larger) than a threshold level, the infrastructure stock decreases (increases) over time, and the world economy will end up in autarky (two way free trade) in the long run. We also show that international cooperation is beneficial in the sense that it may enable the world economy to escape from a “low development trap”.

Nanotechnology and Microelectronics

2010 ◽  
pp. 1-25 ◽  
Author(s):  
Ndubuisi Ekekwe
Keyword(s):  
Technology Diffusion ◽  
World Economy ◽  
International Economy ◽  
Wealth Creation ◽  
National Competitiveness ◽  
The World ◽  
The Future ◽  
Technology Capability ◽  
Gross World Product ◽  
Over Time

For many centuries, the gross world product was flat. But as technology penetrated many economies, over time, the world economy has expanded. Technology will continue to shape the future of commerce, industry and culture with likes of nanotechnology and microelectronics directly or indirectly playing major roles in redesigning the global economic structures. These technologies will drive other industries and will be central to a new international economy where technology capability will determine national competitiveness. Technology-intensive firms will emerge and new innovations will evolve a new dawn in wealth creation. Nations that create or adopt and then diffuse these technologies will profit. Those that fail to use technology as a means to compete internationally will find it difficult to progress economically. This chapter provides insights on global technology diffusion, the drivers and impacts with specific focus on nanotechnology and microelectronics. It also discusses the science of these technologies along with the trends, realities and possibilities, and the barriers which must be overcome for higher global penetration rates.

MEASURING MONGOLIA’S GAINS FROM TRADE AND INCREASED INTEGRATION IN THE WORLD ECONOMY

2019 ◽  
Vol 19 (04) ◽  
pp. 1950021
Author(s):  
ENKHMAA BATTOGTVOR ◽  
CRAIG PARSONS
Keyword(s):  
World Economy ◽  
Bilateral Trade ◽  
Transitional Economies ◽  
Trade Costs ◽  
Trade Cost ◽  
Welfare Impact ◽  
Economic Association ◽  
The World ◽  
Trade Partners ◽  
Tariff Equivalent

Following the gains from variety literature ( Broda and Weinstein , 2006 ), we estimate the welfare impact of the dramatic increase in imported varieties growth in Mongolia and find it to be considerably larger than that found in previous studies of other transitional economies. Our results show that from 1988 to 2015, the gains from variety were equal to 22 percent of Mongolia’s GDP, or 0.8 percent annually. As such, this paper measures the gains of one of the most profound trade liberalizations in modern history. Also, by calculating Novy measures of trade costs, we find that the tariff-equivalent trade costs between any of its trade partners fell dramatically since the dissolution of and Mongolia’s exit from the Soviet-led CMEA (Council of Mutual Economic Association). Our calculations suggest that the costs between Mongolia and China, now its biggest trading partner, fell from 114% to 63%. For reference, this is twice the decline of the post-NAFTA US-Mexico trade costs. Other bilateral trade cost declines (e.g. with Germany) were even greater.

Annex I. The Open Arbitrage Forecast: or Why the Dollar Must Drop

1989 ◽  
Vol 129 ◽  
pp. 38-38
Keyword(s):  
Risk Factors ◽  
Exchange Rates ◽  
World Economy ◽  
List Type ◽  
Type Number ◽  
Adequate Description ◽  
Change Over Time ◽  
The World ◽  
Over Time

We have adopted the practice of constructing our forecasts by assuming:- (1)Exchange rates follow the open arbitrage path, with some allowance for risk factors which may change over time.(2)Our model is an adequate description of the world economy, and that the views embedded in it are shared by participants in the market.

Nanotechnology and Microelectronics

2011 ◽  
Vol 3 (4) ◽  
pp. 1-23
Author(s):  
Ndubuisi Ekekwe
Keyword(s):  
Technology Diffusion ◽  
World Economy ◽  
International Economy ◽  
Wealth Creation ◽  
National Competitiveness ◽  
Specific Focus ◽  
The World ◽  
Technology Capability ◽  
Gross World Product ◽  
Over Time

For many centuries, the gross world product was flat. But as technology penetrated many economies, over time, the world economy has expanded. Technology will continue to shape the future of commerce, industry and culture with likes of nanotechnology and microelectronics directly or indirectly playing major roles in redesigning the global economic structures. These technologies will drive other industries and will be central to a new international economy where technology capability will determine national competitiveness. Technology-intensive firms will emerge and new innovations will evolve a new dawn in wealth creation. Nations that create or adopt and then diffuse these technologies will profit. Those that fail to use technology as a means to compete internationally will find it difficult to progress economically. This article provides insights on global technology diffusion, the drivers and impacts with specific focus on nanotechnology and microelectronics. It also discusses the science of these technologies along with the trends, realities and possibilities, and the barriers which must be overcome for higher global penetration rates.

scholarly journals The Growth of Transnational Corporate Networks: 1962-1998

2005 ◽  
pp. 263-286 ◽  
Author(s):  
Jeffrey Kentor
Keyword(s):  
Global Economy ◽  
World Economy ◽  
Empirical Measure ◽  
Foreign Subsidiaries ◽  
Global Networks ◽  
Corporate Networks ◽  
Nation States ◽  
The World ◽  
S 100 ◽  
Over Time

This is a study of the growth of organizational power in the world-economy over the past forty years. It takes the position that transnational corporations (TNCs) are increasingly significant actors in the world-economy, independent of the nation-states within which they are located. The goal of this work is to identify the expansion, spatial distribution, and concentration of this global power over time, and to consider its impact on the global economy. The TNC networks are identified by locating the headquarters and foreign subsidiaries of the world’s 100 largest manufacturing corporations in 1962, 1971, 1983, 1991 and 1998. The distribution of ownership and location of these foreign subsidiaries are examined, both globally and bilaterally. I find high levels of concentration in ownership of these global networks that decrease over time, in contrast to a high degree of dispersion in the location of these linkages. U.S. corporations are clearly the dominant actors from 1962 to 1971 but decline dramatically through 1998, while Japanese and Western European TNC control over transnational networks grows significantly over this period. An empirical measure of economic dominance in the global economy is also presented.

scholarly journals PORT WINE, BRAZIL AND THE WORLD ECONOMY: A TIME SERIES ANALYSIS FROM 1756 TO BRAZILIAN INDEPENDENCE

2017 ◽  
Vol 35 (2) ◽  
pp. 275-300
Author(s):  
Paulo Reis Mourão
Keyword(s):  
Time Series ◽  
Time Series Analysis ◽  
Error Correction ◽  
World Economy ◽  
Structural Break ◽  
Port Wine ◽  
Error Correction Models ◽  
The World ◽  
Analyse Data ◽  
Over Time

AbstractThe Douro Wine Company was one of the most emblematic mercantilist companies promoted by the Marquis of Pombal. It was established in 1756 and has played an unquestionably important role in the Port wine market since then. Port wine exports to Brazil were significantly lower than exports to England over time. Generally, the oscillation of Port wine exports to Brazil has been explained by particular episodes in the Douro Wine Company’s business. Employing structural break analysis and vector of error correction models to analyse data between 1756 and 1826, we concluded that Port wine exports to Brazil were robustly explained by the monetary dimensions of the world economy of the time.

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