This contribution provides evidence for the hypothesis that trade increases growth through its curbing effect on capital taxes. The analysed trade-growth channel includes a negative impact of openness on corporate taxes and a negative effect of taxes on growth. The paper explores the two steps...

The failure of declining trade-related costs to be reflected in estimates of the standard gravity model of bilateral trade might be called the quot;missing globalization puzzle.quot; This puzzle is most apparent in the estimated distance coefficients found in the literature, which show no...

The failure of declining trade-related costs to be reflected in estimates of the standard gravity model of bilateral trade might be called the ""missing globalization puzzle."" This puzzle is most apparent in the estimated distance coefficients found in the literature, which show no evidence of...

This contribution provides evidence for the hypothesis that trade increases growth through its curbing effect on capital taxes. The analysed mechanism includes two different steps and considers the critical points of both the theoretical and empirical studies in this field. In particular, the...