The high trade costs inferred from gravity are rarely used in thewide class of trade models. Two related problems … explain this omis-sion of a key explanatory variable. First, national seller and buyer re-sponses to trade costs depend on … their incidence rather than on the fullcost. Second, the high dimensionality of bilateral trade costs requiresaggregation …

Do better trade logistics reduce trade costs, raising a country´s exports? Yes, but the magnitude of the effectdepends …

This paper develops a trade model with firm-specific quality heterogeneity, limit pric-ing, and an endogenous … distribution of markups. Exposure to trade induces only thefirms producing high-quality (high-price) products to enter the export … Allen (1964) conjecture. Trade liberalization intensifes thecompetition; causes firms producing low-quality products to exit …

The empirical relationship between trade protection and economic growth is surprisinglyfragile, as shown in a number of … between trade barriers and growth is contingent on measures ofcomparative advantage. The findings suggest that these …

This paper analyses trade specialisation dynamics in two Eastern European countries(Romania and Bulgaria – EEC-2) vis …

This paper provides a systematic welfare-based approach to analyze the impact of non-tariffmeasures (NTMs) on trade and … phytosanitary regulations.The approach overcomes the shortcomings of the mainstream approach based on the analysisof forgone trade … caused by trade costs. The latter ignores market imperfections: welfareincreases when NTMs are removed and trade expands. We …