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Do trade reforms that significantly reduce import barriers lead to faster economic growth? In the two decades since Rodríguez and Rodrik's (2000) critical survey of empirical work on this question, new research has tried to overcome the various methodological problems that have plagued previous...
Persistent link: https://www.econbiz.de/10012479877
We develop a Ricardian model to explore the role of trade in spreading the benefits of" innovation. The theory delivers …
Persistent link: https://www.econbiz.de/10012472558
with the theory of consumer behavior. substitution effects make demand curves slope down, but income effects can increase …
Persistent link: https://www.econbiz.de/10012475426
In this paper I use a cross country data set to analyze the relationship between trade orientation, trade distortions and growth. I first develop a simple endogenous growth model that emphasizes the process of technological absorption in small developing countries. According to this model...
Persistent link: https://www.econbiz.de/10012475291
Persistent link: https://www.econbiz.de/10000642959
This paper highlights a tradeoff implied by a policy of export-led growth through currency undervaluation. While undervaluation can foster domestic manufacturing in countries like China by sustaining trade surplus, it also can harm a country's comparative advantage by altering the composition of...
Persistent link: https://www.econbiz.de/10012814474
This paper identifies a causal effect of openness to international trade on growth. It does so by using tariff barriers of the United States as instruments for the openness of developing countries. Trade liberalization by a large trading partner causes an expansion in the trade of other...
Persistent link: https://www.econbiz.de/10012465606
This paper investigates the determinants of countries' export performance looking in particular at the role of international product market linkages. We begin with a novel decomposition of the growth in countries' exports into the contribution from increases in external demand and from improved...
Persistent link: https://www.econbiz.de/10012469061
Most trade-and-growth studies focus on the growth effects of autarky-to-free-trade changes, rather than those of incremental liberalizations. This paper characterizes how the strength and sign of openness-and-growth links depend upon the nature and level of trade barriers. For most types of...
Persistent link: https://www.econbiz.de/10012472328
imperfect competition and scale economies. This sort of old-growth-theory-in-a-new-trade-model has not been thoroughly explored …
Persistent link: https://www.econbiz.de/10012473266