Firm dynamics and trade

G Alessandria, C Arkolakis… - Annual Review of …, 2021 - annualreviews.org
We review the literature that studies the dynamics of firms in foreign markets, at both the
intensive and extensive margins, and their aggregate implications. We first summarize a set …

The gains from market integration

D Donaldson - Annual Review of Economics, 2015 - annualreviews.org
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Why is pollution from US manufacturing declining? The roles of environmental regulation, productivity, and trade

JS Shapiro, R Walker - American Economic Review, 2018 - aeaweb.org
Between 1990 and 2008, air pollution emissions from US manufacturing fell by 60 percent
despite a substantial increase in manufacturing output. We show that these emissions …

Notching R&D investment with corporate income tax cuts in China

Z Chen, Z Liu, JC Suárez Serrato, DY Xu - American Economic Review, 2021 - aeaweb.org
We study a Chinese policy that awards substantial tax cuts to firms with R&D investment
over a threshold or “notch.” Quasi-experimental variation and administrative tax data show a …

New trade models, new welfare implications

MJ Melitz, SJ Redding - American Economic Review, 2015 - aeaweb.org
We show that endogenous firm selection provides a new welfare margin for heterogeneous
firm models of trade (relative to homo geneous firm models). Under some parameter …

The elusive pro-competitive effects of trade

C Arkolakis, A Costinot, D Donaldson… - The Review of …, 2019 - academic.oup.com
We study the gains from trade liberalization in models with monopolistic competition, firm-
level heterogeneity, and variable markups. For a large class of demand functions used in the …

Universal gravity

T Allen, C Arkolakis… - Journal of Political …, 2020 - journals.uchicago.edu
We study the theoretical properties and counterfactual predictions of a large class of general
equilibrium trade and economic geography models. By combining aggregate factor supply …

Exporter behavior, country size and stage of development: Evidence from the exporter dynamics database

AM Fernandes, C Freund, MD Pierola - Journal of Development Economics, 2016 - Elsevier
We present new data on the micro-structure of the export sector for 45 countries and study
how exporter behavior varies with country size and stage of development. Larger countries …

The cost of non-Europe, revisited

T Mayer, V Vicard, S Zignago - Economic Policy, 2019 - academic.oup.com
In this paper, we quantify the “Cost of Non-Europe”, that is, the trade-related welfare gains
each country member has reaped from the European Union (EU). Thirty years after the …

From micro to macro: Demand, supply, and heterogeneity in the trade elasticity

M Bas, T Mayer, M Thoenig - Journal of International Economics, 2017 - Elsevier
Abstract Models of heterogeneous firms with selection into export market participation
generically exhibit aggregate trade elasticities that vary across country-pairs. Only when …