International Trade and Inequality

The impact of globalization on equality has become a serious concern for many countries. More evidence that challenges the theoretical prediction of positive impact of international trade on income distribution has increasingly become available recently. This paper addresses this subject, surveying the empirical findings on the impact of international trade on inequalities from various perspectives. The survey reveals that an increase in trade openness by developing countries appears to have contributed to narrowing the development gap vis-à-vis developed countries, while its impacts on income gap between developing countries are not clear. The impacts of increased trade or trade liberalization on within-country inequalities are mixed. In some cases, trade liberalization improved wage-inequality, but in some other cases, the opposite pattern was observed. Similar mixed patterns are found for regional inequalities. These mixed findings are consistent with the fact that theoretical predictions are also mixed. One reason for the mixed findings is the impact of other factors affecting inequalities, including labor market conditions, inflow of capital, and policy reforms. Government needs to implement appropriate policies to deal with the inequalities. Two of the most important are policies to promote human resource development and policies on income redistribution. The former improves quality of labor, with the support from a well-functioning and flexible labor market. The latter covers policies on social safety net or on tax system. The safety net pays some portion of adjustment costs borne by workers who are adversely e tax system (e.g., progressive and inheritance tax) helps distribute income more equally between the rich and the poor

The Role of Multinational Firms in International Trade: The Case of Japan

This paper examines the role of multinational firms in international trade using firm-level panel data for Japanese firms between 1994 and 2000. Our results indicate that multinational firms dominate Japanese trade. In 2000, only 12.4 percent of Japanese firms were multinationals but they accounted for 93.6 and 81.2 percent of Japanese exports and imports, respectively. We found that multinational firms emerged from being exporters/importers. These results imply that firms do not make the choice of either exporting or undertaking FDI, contrary to the findings of previous studies. Rather, exporters make a decision on whether or not to undertake FDI.Multinational Firms, Foreign Direct Investment, International Trade, Intra-firm Trade

Ataxia-Telangiectasia Mutated and the Mre11-Rad50-NBS1 Complex:Promising Targets for Radiosensitization

Radiotherapy plays a central part in cancer treatment, and use of radiosensitizing agents can greatly enhance this modality. Although studies have shown that several chemotherapeutic agents have the potential to increase the radiosensitivity of tumor cells, investigators have also studied a number of molecularly targeted agents as radiosensitizers in clinical trials based on reasonably promising preclinical data. Recent intense research into the DNA damage-signaling pathway revealed that ataxia-telangiectasia mutated (ATM) and the Mre11-Rad50-NBS1 (MRN) complex play central roles in DNA repair and cell cycle checkpoints and that these molecules are promising targets for radiosensitization. Researchers recently developed three ATM inhibitors (KU-55933, CGK733, and CP466722) and an MRN complex inhibitor (mirin) and showed that they have great potential as radiosensitizers of tumors in preclinical studies. Additionally, we showed that a telomerase-dependent oncolytic adenovirus that we developed (OBP-301 [telomelysin]) produces profound radiosensitizing effects by inhibiting the MRN complex via the adenoviral E1B55kDa protein. A recent Phase I trial in the United States determined that telomelysin was safe and well tolerated in humans, and this agent is about to be tested in combination with radiotherapy in a clinical trial based on intriguing preclinical data demonstrating that telomelysin and ionizing radiation can potentiate each other. In this review, we highlight the great potential of ATM and MRN complex inhibitors, including telomelysin, as radiosensitizing agents

Reaction cross sections of the deformed halo nucleus 31Ne

Using the Glauber theory, we calculate reaction cross sections for the deformed halo nucleus $^{31}$Ne. To this end, we assume that the $^{31}$Ne nucleus takes the $^{30}$Ne + $n$ structure. In order to take into account the rotational excitation of the core nucleus $^{30}$Ne, we employ the particle-rotor model (PRM). We compare the results to those in the adiabatic limit of PRM, that is, the Nilsson model, and show that the Nilsson model works reasonably well for the reaction cross sections of $^{31}$Ne. We also investigate the dependence of the reaction cross sections on the ground state properties of $^{31}$Ne, such as the deformation parameter and the p-wave component in the ground state wave function.Comment: 7 pages, 6 eps figure

The Impacts of an East Asia FTA on Foreign Trade in East Asia

This paper attempts to examine the impact of an East Asia FTA on trade patterns in East Asia by using a multi-sector computable general equilibrium model. The model used in this analysis is the standard GTAP model and GTAP database developed by Hertel (1997) and his colleagues of Purdue University. Our findings are summarized as follows: First, the impacts of an East Asia FTA on GDP and welfare of member countries are generally positive, while the impacts on non-members are negative. Second and surprisingly, the FTA does not seem to affect much on the patterns of comparative advantage or intra-industry trade. Third, production of the sectors with a comparative advantage increases. Fourth, unexpectedly exports of protected sectors increase, reflecting a shift in incentives from domestic sales to export sales. Finally, an East Asia FTA will promote regionalization in East Asia but it will not necessarily promote regionalization in AFTA.

Small and medium-size enterprise support policies in Japan

The authors examine how Japan's public and private sectors support small and medium-size enterprises (SMEs). They focus on technical, financial, and marketing assistance. Their findings are based on a survey of 107 firms; 40 that produce silverware, 33 engaged in synthetic textile weaving, and 34 that manufacture auto parts. Each sector represents a distinctive form of industrial organization, but they also share several characteristics: each industry is concentrated in a particular region, each involves close subcontracting relationships, and each has overcome difficulties and achieved a certain measure of industrial success. Technical support for these SMEs came largely through private channels, including parent firms, equipment suppliers, and other firms in the same line of business. Public institutions played only a subordinate role. Marketing support also came largely from parent firms, trading companies, and other private sources. Producers of intermediate goods in particular - such as auto parts and synthetic textiles - relied heavily on subcontractors. Most loans for Japan's SMEs were provided under competitive market conditions but three sources of directed credit - loans from specialized parastatals, loans channeled through local governments, and loan guarantees - accounted for about 20 percent of all SME borrowing and 35 to 60 percent of investment borrowing. Default rates averaged less than one-half of one percent of outstanding loans, and real interest rates were positive. The majority of firms surveryed used and valued directed credits. The smallest firms in particular valued them. Public institutions complemented the private marketplace in all three areas. Public technical and marketing support helped create and maintain private networks. In finance, Japan successfully embedded directed credit in a well-functioning, predominantly private, competitive, and prudential financial system. Through partnerships, public support continues to play both a direct and an indirect role in supporting the development of SMEs in Japan.Small Scale Enterprise,Water and Industry,Microfinance,Small and Medium Size Enterprises,Labor Policies,Environmental Economics&Policies,Water and Industry,Microfinance,Private Participation in Infrastructure,Small Scale Enterprise