This paper argues that openness to goods trade in combination with an unequal distribution of political power has been … provision of schooling are typically lower in an open than in a closed economy. Moreover, we find that, under openness to trade …, development is faster in a democratic system. We also endogenize the trade regime and demonstrate that, in political equilibrium …

marketing expenditure. Although promotional activity is modelled as purely wasteful competition among firms for attention, it … are consistent with empirical evidence. First, if firms incur higher sunk costs for marketing, concentration and firm … become excessive, whereas being inefficiently low in the benchmark case without marketing. This has non-trivial consequences …