We study a two-country two-sector model of international trade in which one sector produces homogeneous products while the other produces differentiated products. The differentiated-product industry has firm heterogeneity, monopolistic competition, search and matching in its labor market, and...

We study a two-country two-sector model of international trade in which one sector produces homogeneous products while the other produces differentiated products. The differentiated-product industry has firm heterogeneity, monopolistic competition, search and matching in its labor market, and...

Intro -- Contents -- Preface -- Acknowledgments -- Chapter 1 Introduction -- Distinctions and Qualifications -- Plan of the Study -- Chapter 2 The Wage-Productivity Gap, 1981-2006 -- Measurement Adjustments -- Role of Wage Inequality -- Rise in Skills of Non-Blue-Collar Workers -- Profits and...