A recent boom in commodities-for-manufactures trade between China and other developing countries has led to much …

firms better than a pure comparative advantage-trade cost framework does. While investment under uncertainty literature is …

frictions, and foreign trade. This framework emphasizes firm heterogeneity and search and matching frictions in labor markets …. It implies that the opening of trade may raise inequality and unemployment, but always raises welfare. Unilateral … country's trade partner. Unemployment benefits can alleviate the distortions in a country's labor market in some cases but not …

This paper analyzes the impact of trade integration on wage inequality when there is heterogeneity across both workers … premium. Under trade, fixed export costs cause the selection of high productivity, high skill firms into exporting and an … caused by trade liberalization results from technology upgrading by new exporters. …

When will reducing trade barriers against a low wage country cause innovation to increase in high wage regions like the … producing old goods. Trade liberalization with a low wage country reduces the profitability of old goods and so the opportunity … offers a new mechanism for positive welfare effects of trade liberalization over and above the standard benefits of …

Since changes in trade openness are typically confounded with other factors, it has been difficult to identify the … labor market consequences of increased international trade. The advent of the United States Interstate Highway System … provides a unique policy experiment, which I use to identify the effect of reducing trade barriers on the relative demand for …

to account for in existing models of industrialization. By construction, closed-economy models that stress the role of … potential explanation for these puzzles by nesting the above theories in a multi-location model with trade costs. Using a number …

and landowners). Industrialization requires the elites to finance schools and the masses to attend them. Schooling raises … dominant elite at the regional and country level is the same and/or the industrialization shock is sufficiently high. If …