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Firm Clusters and Productivity in Indonesia

Examining how agglomeration, or clustering, among Indonesian manufacturing firms has changed over the past 30 years, we found that its most robust drivers have been natural resources and supply chain linkages, especially with respect to explaining long-term changes in spatial concentration.

Research Note
1 Mar 2017

On the Origins and Development of Pakistan's Soccer-Ball Cluster

Sialkot, Pakistan, is the world center of hand-stitched soccer-ball manufacturing. The existence of the cluster is puzzling and seems to argue against the "home market effect", since there is little local demand for soccer balls.

Journal Article
1 Mar 2017

Optimizing Network Referrals to Identify and Recruit Creditworthy Entrepreneurs

Microfinance lenders make limited credit offers because of operational challenges of extensive screening and selection process. We study if optimizing a referral protocol can be used to recruit good entrepreneurs and thus increase access to credit.

Research Note
27 Feb 2017

The Impacts of Exchange Rate Movements on Prices and Trade across Sectors: Evidence from Ethiopian Firms

Movements of the Ethiopian Birr against the USD, the major currency of trade invoicing, matter more for prices and trade volumes than do movements of the Birr against trading partners’ currencies.

Research Note
14 Feb 2017

Exit from Informality: The Stick Treatment

Most firms are informal throughout the developing world; and most small and medium enterprises (SMEs) (60-80%) do not register with tax authorities, lowering the tax base. This remains a persistent phenomenon despite the numerous attempts made to encourage registration.

Research Note
7 Feb 2017

Capital Allocation Across Regions, Sectors and Firms: Evidence from a Commodity Boom in Brazil

Bustos, Garber and Ponticelli (2016) study the allocation of capital across regions, sectors and firms. In particular, they assess to what extent growth in agricultural productivity can lead to an increase in the supply of credit in industry and services.

Working Paper
1 Feb 2017

A Firm of One’s Own: Experimental Evidence on Credit Constraints and Occupational Choice

This study by Brudevold-Newman, Honorati, Jakiela and Ozier (2017) presents results from a randomized evaluation of two labor market interventions targeted to young women aged 18 to 19 years in three of Nairobi’s poorest neighborhoods.

Working Paper
1 Feb 2017

Enhancing the Benefits of Formalization: Experimental Evidence from the Introduction of the Entreprenant Status in Benin

Using a randomized experiment, the authors show that enhancing the benefits of formalization through personalized assistance induces more firms to formalize.

Research Note
11 Jan 2017

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