We investigate theoretically and empirically the role of wholesalers in mediating the productivity effects of trade … liberalization. Intermediaries provide indirect access to foreign produced inputs. The productivity effects of input tariff cuts on … firms experience productivity gains from reducing input tariffs if trade intermediation of foreign inputs within their …

likelihood framework for structural estimation that is uninhibited by the scale of data, and (c) a procedure for counterfactual …

elsewhere) can be used by multinational firms which have different productivity to serve the market abroad when product chains … abroad by either horizontal or vertical FDI. Upon opening a market to trade, firms with the lowest productivity will exit …, those with intermediate productivity will export, and those with higher productivity will choose fragmentation. Among the …

countries. In theory, trade openness can affect inflation through changes in market competitiveness and productivity …. Nonetheless, previous empirical studies often fail to account for productivity effects, and their results may overstate the role … controlling for productivity effects. Indeed, when market competition and productivity effects are both accounted for, trade …

Trefler (2004, AER) and others that industrial productivity increases more strongly in liberalized industries than in non … productivity increases more strongly in non-liberalized industries than in liberalized industries. …

. Theory translates into an intuitive econometric system that identifies the causal impact of trade on income and growth, and …

industry productivity. For this purpose we develop a reciprocal dumping model of international trade with heterogeneous firms … expected industry productivity. The central results of the paper regarding firm and industry level R&D spending differ … significantly from the case of homogeneous firms. -- international trade ; firm heterogeneity ; R&D ; productivity ; market …