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credit-constraints-and-international-trade icon credit-constraints-and-international-trade

The Chinese expansion into world trade, especially after the 2000s, has been vastly studied. Previous results suggest localities affected by the Chinese competition tend to observe productivity gains associated with net industrial short-run job losses. The magnitude of both effects, whoever, vary considerably. Using data from the Brazilian economy, this research will delve deeper into one question: are credit constraints relevant to explain the magnitude of trade shock’s impacts in the developing world?

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