Trade openness influences the wage structure via technology adoption in middle income countries. Given the econometric challenges of handling endogenous trade and technology interaction, we offer an alternative quantification based on calibration of a general equilibrium model. We expand the...

The relationship between foreign trade openness and growth is a challenge for economic analysis. Econometric approaches struggle with endogeneity of foreign trade and trade policy and endogenous interaction between investment and productivity. We offer an alternative route to identification and...

Countries rich in natural resources constitute both growth losers and growth winners. We claim that the main reason for these diverging experiences is differences in the quality of institutions. More natural resources push aggregate income down, when institutions are grabber friendly, while more...