income risk even though the variability of output may increase. We believe that lower trade barriers may not have played a … dominant causal role during this decade because the effect of lower trade barriers has probably already played itself out. We …

This Paper presents a stylized model of international trade and asset price bubbles. Its central insight is that …

economies of the European Free Trade Association (EFTA) and investment creation in the EU economies. We argue that a simple … in addition to real trade cost reduction. When EU92 is extended to include the EFTA6, EFTA6 capital stocks rise by almost …

This paper explores the impact of trade on growth when firms are heterogeneous. We find that greater openness produces … freer trade has on the marginal cost of innovating. The balance of the two effects is ambiguous with the sign depending upon … the exact nature of the innovation technology and its connection to international trade in goods and ideas. We consider …

This paper integrates in a unified and tractable framework some of the key insights of the field of international trade … preferences but differ on their assumptions about trade frictions. By comparing the predictions of these models against each other …, it is possible to identify a variety of channels through which trade affects the evolution of world income and its …

> the European Union (EU) and the North American Free Trade Association (NAFTA). First, is there evidence from the past that … suggests the direct and indirect effects of regional integration agreements (RIAs) on trade and investment have been income …-reducing for economies not included? Many would answer `yes', and some cite the increasing regionalization of world trade to …