Trade economist Meredith Startz and I talked about her research on the information costs of trade. We discussed the strategies that traders use to lower costs associated with search (ensuring they get their goods to the market on time) and moral hazard costs (ensuring they get what exactly was ordered from their suppliers). We talked about how big businesses use fixed cost strategies to lower costs, the benefits of higher revenue for firms, and how innovative business models can improve contracting in long-distance trade. Meredith is doing important work, and I think her research deserves a lot more attention.
Counting the Costs of Trade
Counting the Costs of Trade
Counting the Costs of Trade
Trade economist Meredith Startz and I talked about her research on the information costs of trade. We discussed the strategies that traders use to lower costs associated with search (ensuring they get their goods to the market on time) and moral hazard costs (ensuring they get what exactly was ordered from their suppliers). We talked about how big businesses use fixed cost strategies to lower costs, the benefits of higher revenue for firms, and how innovative business models can improve contracting in long-distance trade. Meredith is doing important work, and I think her research deserves a lot more attention.