Organizations and Trade
نویسنده
چکیده
We survey an emerging literature at the intersection of organizational economics and international trade. We argue that a proper modelling of the organizational aspects of production provides valuable insights on the aggregate workings of the world economy. In reviewing the literature, we describe certain predictions of standard models that are a¤ected or even overturned when organizational decisions are brought into the analysis. We also suggest potentially fruitful areas for future research. Keywords: organizations, technology, fragmentation, wage inequality, matching, internalization, contractual frictions, comparative advantage, outsourcing, o¤shoring. JEL Classi cation: D23, E25, F10, F23, L23. This survey was prepared for the inaugural issue of the Annual Reviews series in Economics. We thank Gene Grossman and Elhanan Helpman for useful comments and Eduardo Morales for very helpful research assistance.
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