productivity to entering foreign markets, as postulated by the recent literature on international trade with heterogeneous firms …

This paper tests some of the predictions of recent advances in trade theory that have focused on different trade …

import-driven convergence and no robust difference between imports of intermediate and investment goods. Accordingly, trade … helps emerging economies follow a 'green growth' path, and trade-related policies can enhance this path. However, the … effects are economically small and require a long time horizon to become effective. Trade-related policies can become much …

tariffs. First, we solve a stylized 2x2 trade model of a large open economy and show that (a) productivity gains via exports … that the incentive to manipulate the terms of trade strategically vanishes, (c) the welfare gain that can be achieved via a … trade-induced productivity gains into account. The USA are the only model region that gains from European optimal tariff …

We hypothesize that North-South trade is associated with knowledge spillovers that create labor productivity gains … the South-North gap in labor intensities within a couple of decades if it were solely achieved through the trade channel. …