The paper develops a two-country monopolistic competition model of trade featuring country-specific consumer tastes. The accounting for heterogeneity in tastes is achieved by assuming different elasticities of substitution in the CES utility function for different country consumers. The proposed...

The empirical relation between happiness and religiosity is considered from the perspective of basic utility theory. An unbalanced cross-country panel data set is used to study whether religiosity can be considered as a substitute in the happiness function, which itself is held to be a proxy for...