Firm Performance in a Global Market
38 Pages Posted: 10 Aug 2013 Last revised: 5 Apr 2023
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Firm Performance in a Global Market
Firm Performance in a Global Market
Date Written: August 2013
Abstract
In this article we introduce an empirical framework to analyze how firm performance is affected by increased globalization. Using this framework we discuss recent work on measuring the impact of various shocks firms face in the global marketplace, such as reductions in trade costs (through lowering tariffs and abolishing quotas). Our analytical framework nests most empirical approaches to estimating the impact of trade and industrial policies on firms active in international markets. We identify outstanding issues surrounding the identification of the underlying mechanisms and conclude with suggestions for future research.
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