We examine the evolution of market potential and its role in driving economic growth over the long twentieth century. Theoretically, we exploit a structural gravity model to derive a closed-form solution for a widely-used measure of market potential. We are thus able to express market potential...

Der Brexit, die Wahl Donald Trumps, die Zugewinne des Front National in Frankreich, der AfD in Deutschland und Geert Wilders in den Niederlanden: Der Populismus erlebt derzeit einen Höhenflug. Was sind die Ursachen und die Effekte dieser Erfolgswellen? Nach Ansicht von Norbert Berthold,...

How do trade costs affect international trade? This paper offers a new approach. We rely on a flexible gravity equation that predicts variable trade cost elasticities, both across and within country pairs. We apply this framework to the effect of currency unions on international trade. While we...