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The economics profession in continental Europe is making a valiant attempt of catching up with their Anglo-Saxon peers who are still leading the pack in economic research. We examine this catching-up process by investigating the research productivity of German academic economists over their life cycles. It turns out that the career-patterns of research(More)
International agreements are an important element of the world economic system, but questions remain as to why they are necessary. In trade theory, the terms-of-trade hypothesis posits that countries use tariffs in part to improve their terms of trade and that trade agreements cause them to internalize the costs that such terms-of-trade shifts impose on(More)
This paper proposes a generalized speci…cation for the panel data model with random e¤ects and …rst-order spatially autocorrelated residuals that encompasses two previously suggested speci…cations. The …rst one is described in Anselin's (1988) book and the second one by Kapoor, Kelejian, and Prucha (2007). Our encompassing speci…ca-tion allows us to test(More)
Up-to-date information about CPR's research projects and other activities is available from our World Wide Web site at www-cpr.maxwell.syr.edu. All recent working papers and Policy Briefs can be read and/or printed from there as well. Abstract The recent general equilibrium theory of trade and multinationals emphasizes the importance of third countries and(More)
We introduce unemployment and endogenous selection of workers into different skill-classes in a trade model with two sectors and heterogeneous firms. This allows us to identify three different channels through which trade liberalization can affect unemployment: a competitiveness effect, a specialization effect and a mobility effect. The three effects may(More)
Recent work by Anderson and van Wincoop (2003) establishes an empirical mod-eling strategy which takes full account of the structural, non-(log-)linear impact of trade barriers on trade in new trade theory models. This framework has never been used to evaluate and quantify the role of endogenous preferential trade agreement (PTA) membership for trade. Apart(More)
  • Facundo Albornoz, Héctor F Calvo Pardo, Gregory Corcos, Emanuel Ornelas, W We, Costas Arkolakis +19 others
  • 2009
Firms need to incur substantial sunk costs to break in foreign markets, yet many give up exporting shortly after their rst experience, which typically involves very small sales. Conversely, other new exporters shoot up their foreign sales and expand to new destinations. We investigate a simple theoretical mechanism that can rationalize these patterns. A rm(More)
This paper formulates an empirical model to estimate the impact of endogenous new regional trade agreement (RTA) membership on trade structure. The likelihood of new RTA membership is influenced by economic fundamentals such as country size, factor endowments, and trade and investment costs. In a sample of country-pairs covering mainly the OECD economies we(More)