This paper reviews recent studies on the impact of financial frictions on international trade.
We first present evidence on the relation between measures of access to external finance …

This paper studies quality upgrading to escape competition from low-wage countries and
proposes a new channel that does not rely on access to new inputs or markets. Informed by …

This paper examines how labor market imperfections distort firm-level technology choices
and alter the gains from trade in developing countries. Motivated by evidence that firms …

How does an economy's capital respond to aggregate productivity shocks when firms make
lumpy investments? We show that capital's transitional dynamics are structurally linked to …

This paper identifies a credit-supply contraction that arises endogenously after trade
liberalization. Banks with loan portfolios concentrated in sectors exposed to competition from …

This study assesses whether the component of across‐sector labor and capital misallocation
induced by real effective exchange rate (REER) misalignments in turn significantly affects …

I argue that monetary policy is less effective at stimulating investment during periods of
elevated volatility in firm-level productivity. Empirically, I document that high volatility …

As the world's largest foreign trading country, China has faced numerous trade
investigations in recent years. We select panel data from China's manufacturing A-share …

We analyze the role of trade credit and financial frictions in the propagation of international
trade shocks along the supply chain. First, we show empirically that exposure to import …

We assemble a firm-level dataset to study the adoption and termination of suppliers over
business cycles. We document that the aggregate number and rate of adoption of suppliers …