Alan Deardorff

Alan V. Deardorff is Professor of Economics at the University of Michigan, Ann Arbor.

  • The Michigan Model of World Production and Trade

    Theory and Applications

    Alan Deardorff and Robert M. Stern

    This book presents the work that has been done to date with the Michigan Model of World Production and Trade, together with a full description and discussion of the model itself. Developed and refined for more than a decade, The Michigan Model is distinguished among general equilibrium trade models not only for its coverage (34 countries and 29 industries) but for its allowance for a wider variety of important short-run interactions among markets and a greater variety of policy parameters and institutional details than many other models permit. The model is intended as a practical tool for policymakers analyzing the effects of measures such as tariffs, taxes, and exchange rate changes on a set of highly disaggregated patterns of production, trade, and employment. Following an introductory chapter that discusses the development and use of The Michigan Model, its theoretical structure is introduced and compared to the theoretical structure of other computational models and its implementation is presented in terms of data requirements and parameters, methods of solution, and application to various issues. Six chapters then explore a number of different applications designed to analyze the effects of the Tokyo Round of Multilateral Trade Negotiations and post-Tokyo-Round negotiating alternatives, the effects of tariffs on the structure of protection in the U.S. and other major industrialized countries, the effects of domestic tax/subsidies on the structure of protection in the U.S., the U.K., and Japan, the sectoral impact of real exchange-rate changes, and the effect of trade on employment in major industrial countries. A final chapter draws together the lessons of the efforts for computer modeling of trade and for the direction of future research.

    • Hardcover $37.50

Contributor

  • Foreign Direct Investment and the Multinational Enterprise

    Foreign Direct Investment and the Multinational Enterprise

    Steven Brakman and Harry Garretsen

    Top economists examine one of the key forces in globalization from a wide range of theoretical and empirical perspectives.

    The multinational firm and its main vehicle, foreign direct investment, are key forces in economic globalization. Their importance to the world economy can be seen in the fact that since 1990 foreign direct investment has grown more rapidly than the world GDP and world trade. Despite this, the causes and consequences of multinational firm activity are little understood and until recently relatively unexamined in the theoretical literature. This CESifo volume fills this gap, examining the multinational enterprise (MNE) and foreign direct investment (FDI) from both theoretical and empirical perspectives. In the theoretical chapters, leading scholars take a wide range of modern analytical approaches—from new growth and trade theories to new economic geography, industrial organization, and game theory. Taking current theoretical work on MNE and FDI as a starting point and aiming to extend the existing theoretical framework, the contributors consider such topics as investment liberalization and firm location, tax competition, and welfare consequences of FDI and outsourcing. The empirical chapters test several of the key hypotheses of recent theoretical work on MNE and FDI, examining topics that include productivity effects on Italian MNEs, the different effects of outsourcing in Austria and Poland, location decisions of MNEs in the European Union, and other topics.

    Contributors Oscar Amerighi, Bruce A. Blonigen, Steven Brakman, Davide Castellani, Ronald B. Davies, Alan V. Deardorff, Fabrice Defever, Harry Garretsen, Anders N. Hoffman, Andzelika Lorentowicz, James R. Markusen, Charles van Marrewijk, Dalia Marin, James R. Marukusen, Alireza Naghavi, Helen T. Naughton, Giorgio Barba Navaretti, J. Peter Neary, Gianmarco Ottaviano, Alexander Raubold, Glen R. Waddell

    • Hardcover $8.75 £6.99