This paper reviews the recent theoretical literature on heterogeneous firms and trade, which emphasizes firm selection into international markets and reallocations of resources across firms. We discuss the empirical challenges that motivated this research and its relationship to traditional...

This paper reviews a new framework for analyzing the interrelationship between inequality, unemployment, labor market 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...

This paper extends a recent class of quantitative models of international trade to incorporate factor mobility within countries. We present a model-based decomposition of the variance of economic activity into the contributions of locational fundamentals, market access and their covariance. We...

While neoclassical theory emphasizes the impact of trade on wage inequality between occupations and sectors, more recent theories of firm heterogeneity point to the impact of trade on wage dispersion within occupations and sectors. Using linked employer-employee data for Brazil, we show that...

This paper presents an economic geography model with two differentiated sectors that exhibit weaker inter and stronger intra-industry input-output linkages. Labour is also differentiated according to skills in a hierarchy of tasks they can perform. Globalisation occurs in two distinct phases,...

This paper develops a new framework for examining the distributional consequences of international trade that incorporates firm and worker heterogeneity, search and matching frictions in the labor market, and screening of workers by firms. Larger firms pay higher wages and exporters pay higher...

This paper analyses the continued decline of trade unions in Britain and examines the possible implications for workers, employers, and unions themselves. Membership of trade unions declined precipitously in the 1980s and 1990s. The rate of decline has slowed in the most recent decade, but we...

The links between unionisation and job satisfaction remain controversial. In keeping with the existing literature we find strong statistically significant negative correlations between unionisation and overall job satisfaction. However, in contrast to the previous literature we find that once...

The problems/need for representation and participation reported by workers vary across workplaces and by types of jobs. Workers with greater workplace needs are more desirous of unions but their preferences are fine-grained. Workers want unions to negotiate wages and work conditions and for...

Performance-related pay (PRP) and performance management (PM) are now a part of the organizationallandscape that unions face in the UK's public services. While PRP and PM threaten the scope of traditionalunion bargaining activities, they simultaneously offer a new role to unions as providers of...