Financial reform boosts long-term growth rates through innovative borrowing constraints.
The essays on Macroeconomics explore how financial reform affects a country's growth rate in the long run, using a model that considers borrowing constraints on firms. They also show that in a monopolistic competition model, firm interactions are important to measure their impact on the economy accurately. Additionally, the research demonstrates that input-output linkages in trade can lead to larger welfare gains than previously thought, by improving efficiency in producing goods through network connections between sectors.