International financial integration in the presence of an international duopoly

نویسندگان

چکیده

We revisit the debate on benefits of international financial integration. build a partial equilibrium imperfectly competitive model with two countries, where each country has one firm. Firms are Cournot competitors. Within this framework, we examine how liberalization capital flows affects welfare and their joint welfare. Our results show that flows' cannot guarantee improvement in country's Overall, find integration very heterogeneous effects, depending market size, initial level stock degree product competition.

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ژورنال

عنوان ژورنال: European Journal of Finance

سال: 2021

ISSN: ['1351-847X', '1466-4364']

DOI: https://doi.org/10.1080/1351847x.2021.1931389