Johannes Van Biesebroeck’s research while affiliated with KU Leuven and other places

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Publications (103)


Pflege und Pflegekosten in der Zukunft – Brauchen wir mehr Versicherungsschutz?
  • Article
  • Full-text available

November 2024

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1 Read

Wirtschaftsdienst

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André Romahn

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Johannes Van Biesebroeck

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Marjolein Van Damme

We evaluate the effect of supplementary long-term care insurance, which would limit the costs of a stay in a care facility. A higher long-term care insurance subsidy reduces the costs of a stay in a care facility and increases the welfare of those in need of care. However, falling costs could lead to people in need of care switching from outpatient care to in-patient facilities, which would cause costs to rise sharply and exceed the welfare gains. The main beneficiaries of higher subsidies are unmarried people and those in need of care with very low and high incomes. A flat-rate subsidy would be preferable to a percentage-based subsidy.

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Integration of African countries in regional and global value chains: Static and dynamic patterns

September 2023

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7 Reads

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1 Citation

World Economy

We study the geographic concentration of trade flows of African countries using information on the global input–output structure of trade from the Eora database. Most countries show a similar concentration between close‐by versus long‐distance trade in their foreign input sourcing as in their export sales. However, changes over the last two decades indicate that many countries increasingly focus their long‐distance trade on only one of these two dimensions. This trend is most pronounced in manufacturing industries with stronger global value chains. In line with the learning‐by‐exporting hypothesis, export success on distant markets is a leading predictor (Granger causes) of regional export success. Only in light manufacturing do we find some evidence of a reverse pattern, that is, regional exports preceding global exports.



Figure 1: Patterns in the reporting discrepancies (a) Discrepancy by province
Figure 2: Evolution of the number of firms by size category
Figure 3: Marginal distributions of selected variables in the different samples (a) Kernel density of (log) output
Figure 4: Sample composition in the different samples (a) By ownership type
Figure 5: Output elasticities estimated on two periods

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Where Has All the Dynamism Gone? Productivity Growth in China’s Manufacturing Sector, 1998-2013

January 2023

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47 Reads

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4 Citations

SSRN Electronic Journal


Trade Liberalization and the Extensive Margin of Differentiated Goods: Evidence from China

May 2022

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26 Reads

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3 Citations

World Economy

We exploit tariff reductions associated with China’s entry into the WTO to evaluate whether the response of trade flows at the extensive margin depends on the degree of product differentiation. We adopt a 4‐way difference‐in‐differences approach to identify the effects as cleanly as possible by comparing market entry of products from each WTO member into China with entry into India and Indonesia. The absolute tariff elasticities are estimated to be relatively large, compared to existing estimates. This is especially true for differentiated goods, for goods with low Chinese demand elasticity, and for exports from OECD countries. We provide both new evidence and a theoretical justification for the heterogeneity of these effects across products and countries.



ENTRY DECISIONS AND ASYMMETRIC COMPETITION BETWEEN NON‐PROFIT AND FOR‐PROFIT HOMES IN THE LONG‐TERM CARE MARKET

September 2021

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36 Reads

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4 Citations

International Economic Review

Demand for long-term care services is growing strongly. Using a rich administrative dataset for Germany, we examine strategic interaction between non-profit and for-profit nursing homes. The estimated competitive effects imply that competition is much stronger within-type, suggesting that they provide differentiated products. Over time, the entry behavior of for-profit homes has converged to that of the more established non-profits and between-type competition has become stronger. Counterfactual simulations of proposed changes in government policy indicate that even moderate changes have a large impact on the fraction of markets that remain unserved or only served by a single type.The authors gratefully acknowledge financial support by KU Leuven research funds (Grant and Kesternich), Flemish Research Foundation - FWO (Kesternich and Van Biesebroeck), and Methusalem project METH/15/004 (Van Biesebroeck). This article is protected by copyright. All rights reserved


Testing predictions on supplier governance from the global value chains literature

June 2021

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47 Reads

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4 Citations

Industrial and Corporate Change

A vast empirical literature analyzes the determinants of the make-or-buy decision. How to organize supplier relationships when the buy option is chosen has received much less attention. The global value chains framework provides testable predictions on the nature of buyer–supplier collaboration. We use a unique transaction-level dataset of outsourced automotive components to study carmakers’ choices between four distinct types of supplier governance: market, captive, relational, or modular. The theory formulates predictions based on three characteristics: the complexity or contractibility of a transaction, the capabilities in the supply base, and how objectively codifiable performance requirements are. Our results illustrate that sourcing relationships vary systematically and that the effects of proxies for the three characteristics are in line with the theory.


Market Size and Competition: A “Hump-Shaped” Result

March 2020

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69 Reads

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4 Citations

International Journal of Industrial Organization

An active empirical literature estimates entry threshold ratios (ETRs), introduced by Bresnahan and Reiss (1991), to learn about the impact of firm entry on competition. We show that in the standard homogeneous goods oligopoly model, there is no monotonic relationship with the price-cost margin, one measure for the strength of competition. Regardless of the shape of demand, the ETR is hump-shaped in the number of active firms. It can also increase with entry in the Salop model of product differentiation or in a game of repeated interactions where collusion is possible. Empirical applications should use caution and only interpret changes in the ratio as indicative of a change in competition when the number of firms is sufficiently large.



Citations (72)


... The writers assert that government policies are crucial for the advancement of the industry [4]. Oliver et al. outline crucial elements for the success of international automakers in China, which encompass forming local alliances, accommodating local market demands, and making substantial investments in research and development as well as production infrastructure [5]. ...

Reference:

Research on the Comparison of Investment Markets for Chinese and German Traditional Vehicle Enterprises and Development Strategies for German Enterprises under the New ESG Landscape
Effects Of The Crisis On The Automotive Industry In Developing Countries : A Global Value Chain Perspective
  • Citing Book
  • August 2010

... Our method is essentially a triple difference estimator (Gruber, 1994;Olden & Møen, 2022). This approach has been used previously in trade settings (Duggan et al., 2016;Frazer & Van Biesebroeck, 2010;van Biesebroeck et al., 2022). Our approach intuitively follows from a precise formulation of our research question: do the imports of GI wines go up more than non-GI wines after WTO accession? ...

Trade Liberalization and the Extensive Margin of Differentiated Goods: Evidence from China
  • Citing Article
  • May 2022

World Economy

... In that sense, Gandhi, Song and Upadrashta (2020) focused on the impact of private equity acquisitions on the quality of care in US nursing homes. Grant, Kesternich and Van Biesebroeck (2020) analyzed competition between non-profit and for-profit LTC homes in Germany, while Yeh, Tsay, Wang, Lo and Shi (2021) used market concentration as one of the variables that determine nursing home accreditation in Taiwan. Grabowski (2008), on the other hand, deals with several issues related to LTC research and, along with emphasizing unanswered policy questions, raises the question of the construction of standard measures of LTC market boundaries. ...

ENTRY DECISIONS AND ASYMMETRIC COMPETITION BETWEEN NON‐PROFIT AND FOR‐PROFIT HOMES IN THE LONG‐TERM CARE MARKET
  • Citing Article
  • September 2021

International Economic Review

... For example, a study of the aerospace industry collected data on buyer-supplier and partnership linkages among more than 2,800 firms across 52 aerospace clusters in North America and Europe during 2002-2014, 4 and another study utilized a dataset of over 57,000 sourcing transactions of automotive parts manufacturers in Europe and North America between 1993 and 2012 to test propositions derived from GVC governance theories. 5 Thus, mixed methodologies continue to characterize the field. ...

Testing predictions on supplier governance from the global value chains literature
  • Citing Article
  • June 2021

Industrial and Corporate Change

... Abraham & Sasikumar (2011) give the example of India which performed better in the international market due to its lower labor cost. Van Biesebroeck & Zaurino (2019) show that the exports of countries in the sub-Saharan African region increased as a result of the reduction of tariffs by high-income countries after the ATC period, and more importantly, this increase of the sector was 2-3 times higher than the other products. Datta & Kouliavtsev (2020) reveals that countries with low labor force significantly increased their exports to large markets during the quota-free period based on the example of the USA. ...

Effects of Trade Liberalization on Textile and Apparel Exports from Sub-Sahara Africa
  • Citing Book
  • July 2019

... This kind of assumption has impacted the development of coherent empirical literature on the global value chain effect on growth and development (Johnson, 2018). Consequently, documentation on Africa's participation level in GVC has not been well documented to account for the magnitude, influence, and identification of underlying periodic trends of exchange rates, interest rates, and inflation among others in the production and sale of final products exported by emerging and frontier African markets as intermediate goods in production structures grow (Alhassan et al., 2021;Patel et al., 2019;Van Biesebroeck & Mensah, 2019;Wang et al., 2022). ...

The Extent of GVC Engagement in Sub-Saharan Africa
  • Citing Book
  • July 2019

... The competitiveness of nutmeg farming must be viewed holistically, meaning that it is seen from its comparative and competitive advantages. Comparative advantage can be seen from the local resources owned, namely the abundance and condition of the land and the subject commodity (in this case nutmeg), labor, capital, and management capabilities (Zhong et al. 2001;Mohammadi, 2004;Shahnvshy et al. 2007;Zare, 2008). Competitive advantage is closely related to indicators representing the feasibility of activity or financial/private profit of a business, which is valued at the current price, both for the price of output, input, and exchange rate (Zheng et al, 2013;Alves et al, 2017). ...

Comparative Advantage in (Non-)Routine Production
  • Citing Article
  • January 2020

SSRN Electronic Journal

... Kesternich et al. (2020) demonstrate that in a one-shot Cournot oligopoly the entry threshold ratio may not fall monotonically for additional entrants, but can display a hump-shaped pattern, first rising with the number of active firms, then declining monotonically up to one.Content courtesy of Springer Nature, terms of use apply. Rights reserved. ...

Market Size and Competition: A “Hump-Shaped” Result
  • Citing Article
  • March 2020

International Journal of Industrial Organization

... Although there is an extensive literature in management, economics and finance on the effect of takeovers on employees (Amess, Girma and Wright, 2014;Dessaint, Golubov and Volpin, 2017;Geurts and Biesebroeck, 2017) and companies (King et al., 2004;Renneboog and Vansteenkiste, 2019), there is very little on AHF involvement in takeovers, and its effects, even in the USA (as opposed to other governance interventions). Those studies focusing on AHF involvement have tended to examine the effects on targets rather than acquirers (e.g. ...

Employment growth following takeovers
  • Citing Article
  • October 2019

The RAND Journal of Economics

... L'efficacité technique est sans doute la plus importante. En effet, plusieurs travaux de recherche en Afrique ayant abordé la question de l'innovation sociale ont mis en lumière les défis et les obstacles spécifiques auxquels elle est confrontée ; notamment la faiblesse des infrastructures et l'accès limité au financement (Robson et Lury, 2011;Frazer et Van Biesebroeck, 2019). Emery et al., (2008) se sont inspirés de la typologie de Boltanksi et Thévenot (1991) pour identifier les différents modèles de référence évoqués par les agents publics lorsque l'on parle de performance. ...

The Extent of Engagement in Global Value Chains by Firms in Rwanda
  • Citing Book
  • August 2019