TY  - GEN
AB  - Bilateral, product-level data exhibit a number of strong patterns that can be used to evaluate international trade theories, notably the spatial incidence of "export zeros" (correlated with distance and importer size), and of export unit values (positively related to distance). We show that leading theoretical trade models fail to explain at least some of these facts, and propose a variant of the Melitz model that can account for all the facts. In our model, high quality firms are the most competitive, with heterogeneous quality increasing with firms' heterogeneous cost.
AU  - Baldwin, Richard E
AU  - Harrigan, James
DA  - 2011
ID  - 12529
L1  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf
L1  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf?subformat=pdfa
L2  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf
L2  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf?subformat=pdfa
L4  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf
L4  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf?subformat=pdfa
LK  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf
LK  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf?subformat=pdfa
N2  - Bilateral, product-level data exhibit a number of strong patterns that can be used to evaluate international trade theories, notably the spatial incidence of "export zeros" (correlated with distance and importer size), and of export unit values (positively related to distance). We show that leading theoretical trade models fail to explain at least some of these facts, and propose a variant of the Melitz model that can account for all the facts. In our model, high quality firms are the most competitive, with heterogeneous quality increasing with firms' heterogeneous cost.
PY  - 2011
T1  - Zeros, quality, and spacetrade theory and trade evidence
TI  - Zeros, quality, and spacetrade theory and trade evidence
UR  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf
UR  - https://repository.graduateinstitute.ch/record/12529/files/mic.3.2.60.pdf?subformat=pdfa
Y1  - 2011
ER  -