JULIA CAJAL GROSSI Email: [email protected] Phone: +44(0)7821880777 Web: https://sites.google.com/site/juliacajalgrossi/home UNIVERSITY OF WARWICK Department of Economics Placement Officer: Placement Assistant: Professor Dan Bernhardt Mrs. Natalie Deven +44(0) 2476 523470 +44(0) 2476 573452 [email protected] [email protected] Office Contact Details: S0.52 - Department of Economics University of Warwick Coventry, CV4 7AL United Kingdom Personal Information: Female. Argentine – Italian Citizenship. Studies: 2009 – 2015 Ph.D. in Economics, University of Warwick (Completed June 2015) Thesis title: Buyer – Seller Relationships, Prices and Development. Supervisors: Prof. Christopher Woodruff; Prof. Gregory Crawford. Fall 2014/15 Visiting Student - Department of Economics, Penn State University. 2008 – 2009 2007 – 2008 2001 – 2006 MSc. in Economics, University of Warwick; Distinction. Postgraduate Diploma Advanced Economics, Di Tella University; Overall GPA: A-. BSc. in Economics, National University of General Sarmiento; Suma Cum Laude. Research Fields: Development Economics, Applied Microeconometrics, Industrial Organization, International Trade. Research Papers: “Searching for Trade Partners in Developing Countries: Testing Firms in the ‘Fast Fashion’ Industry” (Job Market Paper) “Firm Performance in a Global Value Chain” (with R. Macchiavello, G. Noguera and C. Woodruff) Work in Progress: “Dynamic Network Formation and Prices: Garments in Bangladesh” Current Position and Affiliations: Robert Solow Postdoctoral Fellow 2015-2016, Cournot Centre. Postdoctoral Fellow, CAGE, Department of Economics, University of Warwick. Research Experience and Other Employment: Feb. 2015 – Sept. 2015 Dept. of Economics, University of Warwick, Research Assistant (Prof. Woodruff). Nov. 2012 – Oct. 2014 Exploratory Research Grant, Private Enterprise Development for Low-Income Countries, Principal Investigator. May 2011 – Oct. 2012 Dept. of Economics, University of Warwick, Research Assistant (Prof. Macchiavello). Sept. 2009 – Sept. 2013 Dept. of Economics, University of Warwick, Warwick Postgraduate Fellow. Feb. 2007 – Aug. 2008 Economic Commission for Latin America and the Caribbean (ECLAC – UN), Consultant. Honors, Scholarships, and Fellowships: 2015-2016 CAGE Research Grant (Investigator, with C. Woodruff, G. Noguera and R. Macchiavello). 2015-2016 2014 2012-2014 2009-2013 Robert Solow Postdoctoral Fellow, Cournot Centre. Visiting Scholar, Department of Economics, Penn State University. PEDL/CEPR Research Grant (Principal Investigator). Warwick Postgraduate Fellow (three years), Department of Economics, University of Warwick. Chevening Scholar, British Council, Foreign and Commonwealth Office, UK. 2008-2009 Teaching Experience: 2010-2014 2015 2011 2010-2011 Econometrics (UG, Annual), University of Warwick. With Prof. Jeremy Smith. Statistics (UG, Spring), University of Warwick. With Prof. Jeremy Smith. Managerial Economics (UG, Spring), University of Warwick. With Prof. Ben Knight. Economics for Business (UG, Fall), University of Warwick. With Dr. Peter Backus. Software and Programming: Matlab, Stata, Latex. References: Professor Chris Woodruff University of Warwick +44(0)247615 1096 [email protected] Professor Greg Crawford University of Zurich +41 44634 5528 [email protected] Dr. Guillermo Noguera University of Warwick +44(0)247615 0047 [email protected] Abstracts: “Searching for Trade Partners in Developing Countries: Testing Firms in the ‘Fast Fashion’ Industry” (Job Market Paper) (Latest Version: https://sites.google.com/site/juliacajalgrossi/home/research/JMP_CajalGrossi.pdf ) ABSTRACT: An integral part of global supply chains is the selection by international buyers of trading partners in developing countries. However, our understanding of how buyers find a suitable long term supplier is limited. I use unique buyer-seller customs data to directly observe experimentation activity in a large market - the “fast fashion” industry in Bangladesh. I study how buyers of ready-made garments conduct trials of suppliers at the order-product level before settling into sustained sourcing relationships. To illustrate this process, I use a model of idiosyncratic search costs where the buyer's costs of testing a manufacturer are determined by the heterogeneity of potential suppliers. The model shows that (1) higher supplier heterogeneity is associated with lower experimentation, (2) as heterogeneity increases, search activity falls more markedly for larger buyers than for their smaller counterparts, and (3) while buyer-seller matches are positively assortative, more heterogeneous settings see all buyers -and more markedly, large buyers- willing to accept relationships with (weakly) worse suppliers. These implications are strongly supported by the data, and hold in terms of within-buyer, cross-market differences in experimentation behavior. Finally, I show that these information frictions, rooted in supplier heterogeneity, matter for the distribution of rents in these relationships: price-cost margins for suppliers are positively related to the degree of heterogeneity in the environment. “Firm Performance in a Global Value Chain” (with R. Macchiavello, G. Noguera and C. Woodruff) ABSTRACT: We study the determinants of performance differences across firms engaged in the manufacturing stage of production in a global value chain. We follow a production-based approach that uses the panel structure of the Bangladesh's apparel sector customs data to identify unknown output elasticities without making assumptions on demand or market structures while addressing well-documented simultaneity, selection, and other biases. We combine these estimates with observed input expenditure shares in total revenue and calculate markups at the order level. We first analyze how prices, markups, marginal costs, and the degree of pass-through relate to seller, buyer, buyer- seller, and product characteristics. We then study how the gains from trade are distributed between large international buyers, like Wal-Mart and H&M, and small export-oriented Bangladeshi producers, and explore the factors that determine the share of rents captured by local producers. In particular, we focus on the effect of relative bargaining power between buyers and sellers, age of their relationships, and the heterogeneous response to exogenous (to the firms) shocks including trade policy and bilateral exchange rate changes.