This paper provides a method to classify TL3regions across OECD countries based on their level of access to metropolitan areas. TL3 regions are classified as ‘metropolitan’ if more than half of their population lives in one or more functional urban area (FUA) of at least 250 thousand...

Does trade improve institutions and contribute to long run growth? I develop a theory of trade, in which trade liberalization provides incentive to change institutions in two ways. On the one hand, trade leads to specialization according to comparative advantage, expanding the industries that do...