What has been the overall global welfare impact of the accession to the World Trade Organization of a large country … simple user-friendly formula to calculate the global welfare impact of the simultaneous trade liberalization of a number of … countries? How sensitive is the answer to the assumption of the trade model? We find a striking answer to these questions. We …

Recent quantitative trade models treat import tariffs as pure cost shifters so that their effects are similar to … iceberg trade costs. We introduce revenue-generating import tariffs, which act as demand shifters, into the framework of … Arkolakis, Costinot and Rodriguez-Clare (2012), and generalize their gains from trade equation. Our formula permits easy …

trade). Here, we add a role for income-dependent demand interacted with factor intensities in production. We explore how … income growth and trade liberalization influence the demand for skilled labor when preferences are non-homothetic and income … skill premium of more than 10%. In a second experiment, we show that trade cost reductions generate quantitatively very …

, giving rise to a trade-off between redistribution and the inefficiency of the labor allocation. We compare two environments …This paper analyzes the effects of trade liberalisation on the political support for policies that redistribute income … lower nominal value in open economies, the actual extent of redistribution in equilibrium is larger in the open than in the …

on border effects in domestic and international trade. Our theory shows that larger countries are systematically … effects. We test our theory on domestic and international trade flows at the level of U.S. states. Our results confirm the …Trade data are typically reported at the level of regions or countries and are therefore aggregates across space. In …

normative aspects of international trade. Assuming “continuum-Pollak” preferences, the model allows for consistent aggregation … continuum-quadratic preferences, I explore the model's implications for the gains from trade, for the distribution of income … between wages and profits, and for production and trade patterns in a two-country world …