We provide a general characterization of which firms will select alternative ways of serving a market.  If and only if firms' maximum profits are supermodular in production and market-access costs, more efficient firms will select into the activity with lower market-access costs.  Our result...

The latest World Bank estimates of real GDP per capita for China are significantly lower than previous ones.  We review possible sources of this puzzle and conclude that it reflects a combination of factors, including substitution bias in consumption, reliance on urban prices which we estimate...

We develop a new model of multi-product firms which invest to improve both the quality of their individual products and of their brand.  Because of flexible manufacturing, products closer to firms' core competence have lower costs, so they produce more of them, and also have higher incentives...

In this chapter we present a selective analytic survey of some of the main results of trade under oligopoly.  We concentrate on three topics: oligopoly as an independent determinant of trade, as illustrated by the reciprocal-markets model of Brander (1981); oligopoly as an independent rationale...

This paper endogenizes the extent of intra-sectoral competition in a multi-sectoral general-equilibrium model of oligopoly and trade. Firms choose capacity followed by prices. If the benefits of capacity investment in a given sector are below a threshold level, the sector exhibits Bertrand...