KCG Lunch-Time Seminar 2023

The purpose of the seminar is to provide a platform for presenting and discussing ongoing research on determinants and consequences of globalisation in general and global value chains in particular. The seminar will take place on an irregular basis at the Kiel Institute for the World Economy or at the Christian-Albrechts University of Kiel. Both are scientific partners of KCG. Information about upcoming presentations will be provided here in advance.

If you have any questions about the KCG Research Seminar, please contact Dr. Wan-Hsin Liu (KCG Coordinator).

 

KCG Research Seminar 2023-2 (Hybrid): 

Topic: Quantifying the Extensive Margins of Trade and Production

David Torun, Ph.D., (University of St.Gallen)

Abstract: This paper builds a Ricardian model of international trade capturing that most countries have only a few trading partners within narrowly defined industries. The set of partner countries responds endogenously to shocks, thereby allowing to identify alternatives to key trading partners. I introduce trade zeros—or, an extensive margin of trade—via a bounded productivity distribution and a non-homothetic final-goods-assembly function. In the limit, without productivity caps, trade shares reduce to a standard gravity equation. I develop a novel calibration strategy to fit data on industry-level bilateral trade flows and aggregate production. Counterfactual exercises suggest that welfare changes after trade-cost shocks are typically amplified when accounting for the extensive margin of trade. This is primarily true for low- to medium-income countries. The number of inactive industry-level trade relations changes by approximately half the shock size; for instance, a 10% rise in global trade costs increases the number of bilateral zeros by 5%.

Date: Friday, February 3, 2023, 12:00 – 13:00

Venue: Virtually via Zoom and in Medienraum (limited capacity) at the Kiel Institute

If interested, please send an Email to kcg-office@ifw-kiel.de to receive a Zoom-Link to the seminar.

 

KCG Research Seminar 2023-1 (Hybrid): 

Topic: Household Wealth and Special Economic Zones in Africa

Cecília Hornok, Ph.D. (Kiel Institute for the World Economy & Kiel Centre for Globalization)

Abstract: This paper analyzes the impact of Special Economic Zones (SEZs), a place-based development policy, on household wealth in Africa. We exploit time and district-level variation in exposure to SEZs across 10 African countries using spatially merged detailed household and SEZs data. Using difference-in-differences estimation strategy, we find that the average wealth of households increased in treated districts after an SEZ was established. Most of the increase occurs between the 60th and 80th percentiles of the wealth distribution, while the effect is statistically zero in the lower part of the distribution.

Date: Friday, January 20, 2023, 12:00 – 13:00

Venue: Virtually via Zoom and in Medienraum (limited capacity) at the Kiel Institute

If interested, please send an Email to kcg-office@ifw-kiel.de to receive a Zoom-Link to the seminar.