This paper estimates the costs of EU restraints on trade in textiles and clothing. After explaining the methods used, we examine the impact of an opening up of EU trade in textiles and clothing, inter alia to those economies where the textile and clothing (T&C) industries command sizeable shares...

This paper the presents pattern and determinants of intra-industry trade (IIT) in Australian manufacturing since the late 1970s. The results point to a sharp rise in IIT from the mid 1980s which appears to be linked with an outward-oriented policy. Industry level analysis indicates that...

The Millennium Round of MTNs, which was stillborn in Seattle, was supposed to have initiated wide-sweeping changes to the world's trading system. This paper deals with the impact on the German economy of some changes that might have been forthcoming from proposed liberalization strategies. It...

Since July 2013, the EU and the United States have been negotiating a preferential trade agreement, the Transatlantic Trade and Investment Partnership (TTIP). We use a multicountry, multi-industry Ricardian trade model with national and international inputoutput linkages to quantify its...

Since July 2013, the EU and the US have been negotiating a preferential trade agreement (PTA), the Transatlantic Trade and Investment Partnership (TTIP). We use a multi-country, multi-industry Ricardian trade model with national and international input-output linkages to quantify its potential...

Quantifying the welfare effects of trade liberalization is a core issue in international trade. Existing frameworks assume perfect labor markets and therefore ignore the effects of aggregate employment changes for welfare. We develop a quantitative trade framework which explicitly models labor...

This paper empirically investigates the effect of the EU-South Korea free trade agreement (FTA) on manufacturing trade flows. By applying a state-of-the-art structural gravity model with intranational (i.e., domestic) trade and using disaggregated data, we quantify both the trade impact and the...

We propose a short-run theory of the extensive margins of trade, comprising the standard international extensive margin and a novel domestic extensive margin. The domestic extensive margin allows identification of globalization and specific policy effects not properly identified in previous...

On the eve of its 60th anniversary, the gravity model of trade is a "celebrity", due to its intuitive appeal, solid theoretical foundations, and remarkable empirical success. Yet, many economists still view gravity simply as an intuitive but naive reduced-form estimating equation and apply it...