technology that integrates two economies by merging separate social spheres into one. We define a "trembling trade" as a … reduced. We show that a "trembling trade" can arise even when trade is more gainful in four ways: through trade the absolute …Acknowledging that individuals dislike having low relative income renders trade less attractive when seen as a …

technology that integrates two economies by merging separate social spheres into one. We define a “trembling trade” as a … reduced. We show that a “trembling trade” can arise even when trade is more gainful in four ways: through trade the absolute …Acknowledging that individuals dislike having low relative income renders trade less attractive when seen as a …

In this paper we propose a theoretical model of international trade that shows the welfare gains from trade are much …-industry multi-country trade model, and show that the complementarity of the intermediates goods results in much larger welfare gains … than the current literature measures, using the same trade data. Also, similar to Ossa2015, we show that the variation of …

We derive a simple equation for the welfare gains from trade when tariffs are liberalized or iceberg trade costs fall …. Covering various one-sector trade models that may or may not feature extensive margins and imperfect competition, we generalize …. We show analytically that an analysis based on iceberg costs necessarily underestimates the welfare gains from trade …

This paper introduces a model of limited consumer attention into an otherwise standard new trade theory model with love …-of-variety preferences and heterogeneous firms. In this setting, we show that trade liberalization needs not be welfare enhancing if the …, neither a fall in transport costs nor advancements in the global distribution of information need generate gains from trade in …

We measure the "new" gains from trade reaped by Canada as a result of the Canada-US Free Trade Agreement (CUSFTA). We … think of the "new" gains from trade of a country as all welfare effects pertaining to changes in the set of firms serving … that country as emphasized in the so-called "new" trade literature. To this end, we first develop an exact decomposition of …

We extend structural gravity models of bilateral trade flows to oligopolistic competition. We show that conventional … gravity estimates do not only reflect trade costs but also market power. Our simple estimation procedure generalizes the … standard gravity model and disentangles exogenous trade frictions and endogenous market power distortions. We use our estimated …

We measure the "new" gains from trade reaped by Canada as a result of the Canada-US Free Trade Agreement (CUSFTA). We … think of the "new" gains from trade of a country as all welfare effects pertaining to changes in the set of firms serving … that country as emphasized in the so-called "new" trade literature. To this end, we first develop an exact decomposition of …