We study the importance of international trade in structural change. Our framework has both productivity and trade cost shocks, and allows for non-unitary income and substitution elasticities. We calibrate our model to investigate South Korea's structural change between 1971 and 2005. We find...

We add to recent evidence on deindustrialization and document a new pattern: increasing industry polarization over time. We assess whether these patterns can be explained by a dynamic open economy model of structural change in which the two primary driving forces are sector-biased productivity...

Motivated by increasing trade and fragmentation of production across countries since World War II, we build a dynamic two-country model featuring sequential, multistage production and capital accumulation. As trade costs decline over time, globalvalue-chain (GVC) trade expands across countries,...

Recommended readings (Machine generated): 1. Piyabha Kongsamut, Sergio Rebelo and Danyang Xie (2001), 'Beyond Balanced Growth', Review of Economic Studies, 68 (4), October, 869-82 -- 2. Reto Foellmi and Josef Zweimüller (2008), 'Structural Change, Engle's Consumption Cycles and Kaldor's Facts...