In this paper, we develop a network perspective on the welfare gains from trade in today's internationally fragmented … supply chains. Towards this end, we study a Ricardian trade model featuring trade in final and intermediate products, and … introduce a novel comparative statics approach to decompose the total welfare effects of an arbitrary trade cost shock into …

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. …

This paper revisits the relationship between international trade and economic growth. We measure trade openness indices … in explaining growth gains from trade. Using sectoral level data from WORLD KLEMS Database on industrial productivity and … output and global input output tables to construct the measures of trade openness, our empirical analysis covering 21 …

trade. We develop a quantifiable trade model with two-sided firm heterogeneity, matching frictions, and oligopolistic …-ups. Counterfactual analysis indicates that entry upstream benefits high-productivity buyers, while lower matching or trade costs benefit … industrial and trade policies. …

The recent literature on firm-to-firm trade has documented salient empirical regularities of the buyer-seller network … assessment of theoretical models that aim to identify the determinants of firm-to-firm networks in international trade. …

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 …

Estimates of the trade elasticity based on actual trade policy changes are scarce, and the few that exist are all over … the place. This paper offers a setting where an exogenous increase in a border tax can be used to estimate the trade … elasticity. It shows theoretically and empirically that if evasion of border taxes is not taken into account, the trade …

this paper, we examine how international trade regimes affect the costs of conflict and, in turn, how the desirability of … international trade is affected by these costs. We consider both domestic and international conflict. Trade openness reduces the …. For countries that export such goods, trade openness intensifies conflict. The effect of conflict on the allocation of …

We undertake a trade-growth accounting exercise by decomposing data on changes in bilateral international trade flows … into their direct (endowment accumulation, productivity growth, changes in trade costs, changing preferences) and indirect … deep drivers of trade by extending standard new trade models to include endogenous factor accumulation, R&D driven …

trade). Here, we add a role for income-dependent demand interacted with factor intensities in production. We explore how … income growth and trade liberalization inuence 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 …