Melitz, Marc J; Redding, Stephen J. - C.E.P.R. Discussion Papers - 2013
This paper reviews the new approach to international trade based on firm heterogeneity in differentiated product … markets. This approach explains a variety of features exhibited in disaggregated trade data, including the higher productivity … of exporters relative to non-exporters, within-industry reallocations of resources following trade liberalization, and …