Many firms in developing countries could be too small to adopt modern technology embodied in expensive production machines. This paper shows that rental market interactions allow these small firms to increase their effective scale and mechanize production.
Africa has some of the highest rates of unemployment globally, yet there is limited understanding of the sources of labor market frictions due to data scarcity.
Increases in the minimum wage can substantially reduce earnings inequality. To demonstrate this, we combine administrative and survey data with an equilibrium model of the Brazilian labor market.
This project assesses the importance of an as-yet underappreciated potential barrier to international trade and firm growth: firms being uninformed about trade costs and unaware of trade agreements relevant to their sector.
