Gullstrand, Joakim; Persson, Maria - In: Review of World Economics (Weltwirtschaftliches Archiv) 151 (2015) 1, pp. 23-51
In endeavouring to explain the empirical puzzle that the sunk costs of exporting are important, but that, at the same time, trade flows do not, on average, survive for very long, this paper explores the concepts of core and peripheral markets. First, it illustrates that if the importance of sunk...
