What has been the overall global welfare impact of the accession to the World Trade Organization of a large country … simple user-friendly formula to calculate the global welfare impact of the simultaneous trade liberalization of a number of … countries? How sensitive is the answer to the assumption of the trade model? We find a striking answer to these questions. We …

What has been the overall global welfare impact of the accession to the World Trade Organization of a large country … simple user-friendly formula to calculate the global welfare impact of the simultaneous trade liberalization of a number of … countries? How sensitive is the answer to the assumption of the trade model? We find a striking answer to these questions. We …

We build a model of tacit collusion between firms that operate in multiple markets to study the effects of trade costs … strategically linked via the incentive compatibility constraint. Importantly, trade costs affect cartel shipments and welfare not … only directly but also indirectly through discipline. Using extensive data on international cartels, we find that trade …

. Owing to this linkage, trade cost reductions induce cartel members to adjust their sales, not only due to direct effects …, but also due to spillover effects related to cartel discipline. We apply these ideas to preferential trade agreements … (PTAs) and show that the indirect effects can give rise to trade diversion. We also characterize the welfare effects of …

We build a model of tacit collusion between firms that operate in multiple markets to study the effects of trade costs … strategically linked via the incentive compatibility constraint. Importantly, trade costs affect cartel shipments and welfare not … only directly but also indirectly through discipline. Using extensive data on international cartels, we find that trade …

We augment the canonical neoclassical model of trade to allow for interstate disputes over land, oil, water, or other … resources. The costs of such disputes in terms of arming depend on the trade regime in place. Under either autarky or free trade …, the larger country (in terms of factor endowments) need not to be more powerful. Yet, under free trade, there is a …

We augment the canonical neoclassical model of trade to allow for interstate disputes over land, oil, water, or other … resources. The costs of such disputes in terms of arming depend on the trade regime in place. Under either autarky or free trade …, the larger country (in terms of factor endowments) need not to be more powerful. Yet, under free trade, there is a …

exports. The paper modifies Arkolakisś (2010) model of trade with heterogeneous firms by introducing endogenous quality and …

We examine how globalization affects trade patterns and welfare when conflict prevails domestically. We do so in a … simple model of trade, in which a natural resource like oil is contested by competing groups using real resources (?guns … free trade in such a setting, the gains from trade have to be weighed against the possibly higher resource costs of …

We analyze how trade openness matters for interstate conflict over productive resources. Our analysis features a terms-of-trade … channel that makes security policies trade-regime dependent. Specifically, trade between two adversaries reduces each one …, greater trade openness brings with it a reduction in resources diverted to conflict and thus wasted, as well as the familiar …