Recent literature on the workhorse model of intra-industry trade has explored heterogeneous cost structures at the firm level. These approaches have proven to add realism and predictive power. This note shows, however, that this added realism also implies that there may exist a positive...

The European economic integration has been an ongoing process for nearly a half century. This article discuss initially the concept of integration and then gives an overall assessment of the development of integration on various areas. Evidence points to a remarkable process towards monetary...