Keller, Wolfgang; Yeaple, Stephen R. - 2009
intermediates that are more complex than the level bzAN.
In the limit as transport costs increase, parents export only the most … given by
U =
IX
i
i
ln
Z
!2
i
xi(!) d!
+
1
X
i
i
!
lnY; (1)
where Y is a homogenous, freely-traded good, i is … variety associated with
a particular good i.
Any variety of the di�erentiated good X is costlessly assembled in the country in …