Mélina London

Internal seminars
phd seminar

Mélina London

AMSE
Trade networks and natural disasters
Joint with
Timothée Gigout
online
Date(s)
Tuesday, December 1 2020| 11:00am to 11:45am
Contact(s)

Anushka Chawla: anushka.chawla[at]univ-amu.fr
Kenza Elass: kenza.elass[at]univ-amu.fr
Carolina Ulloa Suarez: carolina.ulloa-suarez[at]univ-amu.fr

Abstract

We study how trade networks react to large natural disasters. We combine exhaustive trade credit and disaster data and use a dynamic differences-in-differences identification strategy to establish the causal effect of natural disasters on the size and shape of international trade networks. We find strong and permanent negative effects on the trade credit exposure of French exporters. This effect is explained by a decrease in the amount requested by suppliers rather than the amount granted by the insurer. Additionally, we find no evidence of increased default rates among buyers.

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