" "Less Stress, More Confidence”: Supporting Junior Scholars Online at the Graduate Student International Political Economy Workshop." PS: Political Science & Politics (2022) - with Cleo O'Brien-Udry and Alex Kirss
International business cycles are synchronized across developed economies. To understand this empirical phenomenon, I develop a multi-country real business cycle model with trade that embeds a comprehensive set of shocks. I match the data exactly with the endogenous outcomes of the model so that shocks fully account for the data, including GDP and bilateral trade shares. Quantifying the model to a panel of G7 countries and the rest of the world during 1992-2014, I find that shocks to bilateral trade linkages are largely responsible for the business cycle synchronization. In contrast, country-specific correlated shocks play relatively minor roles. Additionally, I find that trade-linkage shocks help to resolve the trade co-movement puzzle, by predicting a much stronger link between trade and cross-country GDP correlations.
"Trade-Induced Marketization, Structural Transformation, and Gender Inequality in the Labor Market" (DRAFT) (February 2025) - with Terry Cheung (Academia Sinica) and Han Yang (Academia Sinica)
We examine the effects of international trade on female labor participation and the gender wage gap in developed economies using a multi-sector quantitative trade model with endogenous labor supply and home production. Trade expansion reduces labor input in the tradable sectors as cheaper imported non-labor inputs become available. Since market and home outputs are substitutes, and market production is less labor-intensive than home production, labor shifts from the home sector to the market sector, leading to trade-driven marketization. Within the market sector, goods and services are complements, and the goods sector is less labor-intensive and benefits more from reduced non-labor input costs. As a result, labor moves from the goods sector to the services sector, leading to trade-driven structural transformation. Embedding these two mechanisms in our model, we find that an increase in international trade can increase relative female market hours and decrease the gender wage gap in developed economies.
"Decarbonization in an Interdependent World with Nominal Wage Rigidities" - with Mario Larch (Bayreuth), Yuta Suzuki (Shanghai Jiatong), Joschka Wanner (Würzburg), and Han Yang (Academia Sinica)
Limiting global warming requires immediate and substantial collective action to reduce carbon emissions, but concerns about economic impacts deter some countries from committing to such efforts. This paper examines how decarbonization policies generate unemployment along the transition path, using a dynamic quantitative general equilibrium model of international trade and environment that incorporates downward nominal wage rigidities as a source of unemployment. Our quantitative results, consistent with a simple theoretical model, show that uniform carbon reduction rates across countries lead to heterogeneous unemployment effects. Countries with more emission-intensive technologies or sectoral compositions experience deeper and more persistent transitional short-run unemployment. We also show that the Paris Agreement’s proposed reductions are relatively fair in terms of unemployment; however, achieving meaningful climate goals requires active participation from more emission-intensive countries, emphasizing the need for stronger global cooperation to transition to a greener global economy.
"Global and Local Effects on the Labor Share Decline" - with Han Yang (Academia Sinica)
"Trade, Automation, and the Male Employment Gap" - with Kristina Sargent (Middlebury) and Erin L. Wolcott (Middlebury)
"Intra-household Inequality and Gender-Equitable Inclusive Growth" - with Gee Young Oh (Korean Institute of International Economic Policy (KIEP)) and Sally Zhang (Princeton)
"Impact of Trade and Structural Change in African Lions" - with Ryo Makioka (Hokkaido) and Karim Nchare (Vanderbilt)
"International Environment Cooperation: Determinants, Interlinkages, and Impacts" - with Mario Larch (Bayreuth) and Joschka Wanner (Würzburg)
"Trade, FDI, and Business Cycle Co-movement" - with Jacek Rothert (U.S. Naval Academy)
"Trade, FDI, and Productivity in Sub-Saharan Africa" - with Belinda Azenui (Denison)
"Competition, Markups, and Gains from International Trade" - with María Pía Olivero (Swarthmore)
"Impact of Asymmetric Productivity Spillovers in Job-to-Job Transitions: Evidence from Labor Mobility in Academia" - with Eren Bilen (Dickinson) and Xiaozhou Ding (Dickinson)
"Disentangling the Impact of Trade and Financial Sanctions: Evidence from Iran" - with William Walsh (U.S. Department of Energy)
"Controlled School Choice with Mixed Bounds Approach: A Balance between Stability and Diversity Considerations" (B.S. thesis at Carnegie Mellon University)
Controlled school choice over public schools has been an important concern for both the parents of students and schools. It gives numerous options for how fairness and diversity considerations can be balanced. The notion of diversity is often imposed by limiting the number of admitted students who have the same type (quotas), or by reserving seats for each student type (reserves). The controlled school choice rule that I explore in this paper is the combination of “reserves” and “quotas,” where schools implement minimum reserves (a soft bound) and maximum quotas (a hard bound) together. In this paper, I provide a full characterization of the mixed bounds approach, and show that it satisfies the requirements for the existence of a student-optimal stable matching.