The authors use newly collected data on trade and production in 178 countries to infer estimates of trade costs in agriculture and manufactured goods for the 1995-2010 period. The data show that trade costs are strongly declining in per capita income. Moreover, the rate of change of trade costs...

This study introduces a new dataset of bilateral value added trade costs for the goods and services sectors, based on a measure derived from the micro-founded gravity model and using data from the OECD-WTO TiVA database. This is the first study to calculate value added trade costs for a set of...