particularly attractive locations to offshore? In this paper we address these questions with a theory of international production … hierarchies in which organizations arise endogenously to make efficient use of agents' knowledge. Our theory highlights the role … that the positive effect of middle skills on offshoring is weaker, the more advanced are communication technologies in the …

This paper surveys the measurement of trade costs --- what we know, and what we don't know but may usefully attempt to … find out. Partial and incomplete data on direct measures of costs go together with inference on implicit costs from trade … flows and prices. Total trade costs in rich countries are large. The ad valorem tax equivalent is about 170% when pushing …

How do communication costs affect the production of new ideas and inventions? To answer this question, we study the … showing how a fall in communication costs can increase the rate at which scientific knowledge is exchanged and new ideas and … and urban economics positing that more ideas can emerge from communication between individuals …

with frictions, such as transaction costs, asymmetric information, search and matching frictions. We discuss how such …

the insight of Cray's analysis. In so doing the analysis reveals the role of costs of information collection in a world …

paper argues that market structures arise which minimize total average production and information costs and that qualitative …