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The World Is Flat 8

the world is flat

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Title: the world is flat

Essay Details:

Subject: Business

Author: Carlos C

Date: July 7, 2015

Level: University

Grade: A

Length: 1 / 293

Essay text:

If you've been uptodate with the field of international trade, it might be familiar territory, but for the rest, it's a great read. I was struck by the fact that over time, the distance coefficient in gravity models has not dropped. It is a really surprising result. I wonder why this happens. Certainly, looking from an Indian perspective, there has been a huge upsurge of trade to faraway locations, made possible by reduced transaction costs. In particular, in terms of BPO, India appears to do huge trade with faraway locations (e.g. UK and UK) and negligible trade with close-by places. This doesn't sound like a gravity model story to me...

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