Unlocking New Methods to Estimate Country-specific trade Costs and Trade Elasticities

Country Trade Costs , Comparative Advantage and the Pattern of Trade : Multi - Country and Product Panel

This paper investigates whether differences across countries in overall country-specific trade costs affect comparative advantage. It does so by examining whether the commodity composition of countries’ trade is driven by differences in countries’ trade costs, as well as by differences in traditional factor endowments. Industry export shares across up to 71 countries and 158 manufacturing indus...

Trade Costs and Trade Composition: Multi-Country and Product Evidence on Sources of Comparative Advantage

This paper investigates whether differences across countries in overall countryspecific trade costs affect comparative advantage and the commodity composition of trade in similar fashion to international differences in factor endowments. Industry export shares across up to 71 countries and 158 manufacturing industries for five year periods from 1972 to 1992 are shown to be greater in factor-int...

Trade Costs, Comparative Advantage and the Pattern of Trade: Multi-country and Multi-product Panel Evidence

Trade Costs and Markups∗

We explore the effects of trade costs on markups by building a new model consistent with three stylized facts: exporters charge higher markups, markups increase when starting to export, and domestic and foreign sales are negatively correlated, which suggests decreasing returns. We calibrate the model to Chilean data, and simulate reductions in trade costs. Most markups increase along the intens...

Asymmetric Trade Costs: Agricultural Trade amongDeveloping andDevelopedCountries

In this article, the reasonswhydeveloping countries trade fewer agricultural products than developed countries are analyzed. Based on earlier findings that low trade volume in the agricultural sector is due to high trade costs, the focus is on evaluating the extent to which bilateral trade costs in the agricultural sector differ among trading partners. Using a neo-Ricardian trade model, the res...