Gravity vs IO: Trade Policy, Mergers and Multinational Production. Recent work in international trade builds on the structural gravity model to provide useful tools for counterfactual policy analysis. The trade approach is economical in terms of data requirements, and can handle large scale problems in terms of country coverage, together with sophisticated models, where firms can decide among […]
The labor market is undergoing profound changes, raising multiple policy challenges. There is a need to stimulate labor mobility while protecting workers; increase productivity and employment levels while containing income inequality; accommodate globalization and technological change while ensuring equal opportunities for everyone.