This paper contributes to the literature on the impact of EMU on trade, adding two new elements. First, we propose a … theoretical model for explaining how the euro could have increased trade by the large amounts found in the empirical literature … monopolistic competition set-up, the effect of exchange rate uncertainty on trade has nonlinear features, suggesting that EMU and a …

This paper reviews reassesses the methodology and principal findings of the “Rose effect”, i.e. the trade effects of … boosted intra-euro area trade by five to ten percent. The paper discusses a gamut of models that might explain the Rose effect …

particular emphasis on the impact of productivity convergence and effects of timing of trade and financial liberalization on the …

for local firms to reach local and foreign consumers). On the one hand, by controlling for the impact of trade frictions …

-country model with trade costs, where FDI could be unilateral and bilateral and both governments address local pollution through …

In this paper we provide a new explanation for the increase in world trade over the last two decades. We show … analytically in a general equilibrium model with heterogeneous firms that a fall in variable offshoring costs boosts trade in … the entry of new exporters (extensive margin). The increase in final goods trade comes on top of the boost to trade in …

-sector specific real marginal costs (i.e. competitiveness) which, insofar it is inferred from actual trade ows, is referred to as …