I develop a novel theory of GATT/WTO negotiations. This theory provides new answers to two prominent questions in the trade policy literature: first, what is the purpose of trade negotiations? And second, what is the role played by the fundamental GATT/WTO principles of reciprocity and...

Zurzeit sprechen bereits viele von einem drohenden Handelskrieg. Daher ist es sinnvoll zu hinterfragen, was schlimmstenfalls passieren kann. Die einfache Botschaft lautet, dass Handelsgewinne hoch und Handelskriege teuer sind. So ist etwa ein Viertel des weltweiten Realeinkommens auf...

We measure the "new" gains from trade reaped by Canada as a result of the Canada-US Free Trade Agreement (CUSFTA). We think of the "new" gains from trade of a country as all welfare effects pertaining to changes in the set of firms serving that country as emphasized in the so-called "new" trade...

We show that climate policy can unlock large environmental gains from trade by inducing economies to specialize according to their environmental comparative advantage. We make this point by exploring the effects of a carbon tax in a quantitative trade model. Our main result is that the...