A significant amount of resources is spent every year on the improvement of transportation infrastructure in developing countries. In this paper, we investigate the effects of one such large project, the Golden Quadrilateral in India. We do so using a model of internal trade with variable...

Spanish GDP grew at an average rate of 3.5% per year during the 1995-2007 expansion, well above the EU average of 2.2%. However, this growth was based on factor accumulation rather than productivity gains as TFP fell at an annual rate of 0.7%. Using firm-level administrative data for all sectors...

We investigate the role of transportation infrastructure in explaining resource misallocation and income in India. We extend the endogenous variable markups model by Atkeson and Burstein (2008) into a multi-region setting in which asymmetric states trade with each other. High transportation...