the dynamics of the U.S. trade balance. Using sign restrictions based on robust predictions by standard theory, we … rest of the world, and deteriorate net exports; both the U.S. real exchange rate and the U.S. terms of trade appreciate in … response to these shocks. Demand shocks also appreciate the dollar, but have negligible effects on absorption and the trade …

Open regionalism and trade cooperation between the world’s two largest developing countries, the People’s Republic … of China (PRC) and India, can foster outward-oriented development and intra-regional trade based on comparative advantage … and available factor endowments. In view of the recent wave of worldwide subregional and bilateral trade cooperation, and …

substantial macroeconomic effects, raising US consumption, investment and the terms of trade, relative to the rest of the world … trade flows. This evidence suggests a fundamental role of cross-country endogenous demand and wealth movements in shaping …

This paper advocates a new way of thinking about goods trade in an open economy macro model. It develops a simple … method for analyzing trade costs that are heterogeneous among a continuum of goods, and it explores how these costs determine … the endogenous decision by a seller of whether to trade a good internationally. This way of thinking offers new insights …

rate can impose significant costs on intertemporal trade. The model also shows that a variety of nonlinear relationships is … preferences between goods. In contrast to recent work, our analysis implies that such costs of intertemporal trade may be a …

remuneration to innovators for the spillovers they generate. Well-designed IPR regimes imposed at the time of trade liberalization … will be welfare enhancing for both regions relative to trade liberalization without IPR enforcement. …