caused an average productivity loss of roughly 13 percent, whereas a reduction of intra-EU trade costs by 5 percent would … countries and sectors depending on market accessibility and trade costs. We provide evidence that our results are robust to …

In this paper we claim that distance alone is a poor proxy for international transport costs in empirical studies. We … transport technology, which lowers their marginal costs and as a consequence, equilibrium transport prices. Transport costs thus … effect of the investment decision on transport costs biases empirical results. The empirical estimations rely on newly …

equations, trade is more sensitive to trade costs if the exporting country only provides a small share of the destination … country's imports. As a result, trade costs have a heterogeneous impact across country pairs, with some trade flows predicted … modest or indistinguishable from zero. -- translog ; trade costs ; gravity ; currency union ; monopolistic competition …