We compare three theoretical explanations for the positive empirical relationship between importer income per capita and traded goods prices. A first explanation is that consumers with higher incomes demand higher quality goods with higher prices. A second explanation is that wealthier people...

Since the mid-1980s a substantial body of research has taken shape on trade in services. Much of this is inspired by the WTO or regional trade agreements, especially the EU. However, an increasing number of papers focus on the impacts of unilateral services sector liberalization. The literature...

We work with a panel of bilateral trade flows from 1988 to 2002, exploring the influence of infrastructure, institutional quality, colonial and geographic context, and trade preferences on the pattern of bilateral trade. We are interested in threshold effects, and so emphasize those cases where...