From among numerous successful projects supported under its Newton Advanced Fellowship program, the British Academy has selected a project led by Asst. Prof. Banu Demir Pakel of the Department of Economics as a particularly good example of how the Newton Fund can strengthen the capacity for research and innovation in partner countries.
Dr. Demir Pakel’s project, titled “Using Processing Trade to Facilitate Innovation in Response to a Competitive Shock,” focuses on an important and policy-relevant topic in international trade and demonstrates a new margin of firm-level adjustment in response to heightened competition in international markets: provision of trade credit. Results from the project can be read on the Vox CEPR Policy Portal at https://voxeu.org/article/gaining-competitiveness-through-trade-credit; a more extensive academic article published in the Journal of International Economics can be accessed via https://www.sciencedirect.com/science/article/pii/S0022199618300084