Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/35285 
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dc.contributor.authorBehrens, Kristianen
dc.contributor.authorMion, Giordanoen
dc.contributor.authorMurata, Yasusadaen
dc.contributor.authorSüdekum, Jensen
dc.date.accessioned2008-09-26-
dc.date.accessioned2010-07-07T11:35:46Z-
dc.date.available2010-07-07T11:35:46Z-
dc.date.issued2008-
dc.identifier.piurn:nbn:de:101:1-2008092963en
dc.identifier.urihttp://hdl.handle.net/10419/35285-
dc.description.abstractWe develop a new general equilibrium model of trade with heterogeneous firms, variable demand elasticities and endogenously determined wages. Trade integration favors wage convergence, intensifies competition, and forces the least efficient firms to leave the market, thereby affecting aggregate productivity. Since wage and productivity responses are endogenous, our model is well suited to study the impacts of trade integration on aggregate productivity and factor prices. Using Canada-U.S. interregional trade data, we first estimate a system of theory-based gravity equations under the general equilibrium constraints generated by the model. Doing so allows us to measure 'border effects' and to decompose them into a 'pure' border effect, relative and absolute wage effects, and a selection effect. Using the estimated parameter values, we then quantify the impacts of removing the Canada-U.S. border on wages, productivity, markups, the share of exporters, the mass of varieties produced and consumed, and welfare. We finally provide a similar quantification with respect to regional population changes.en
dc.language.isoengen
dc.publisher|aInstitute for the Study of Labor (IZA) |cBonnen
dc.relation.ispartofseries|aIZA Discussion Papers |x3682en
dc.subject.jelF21en
dc.subject.ddc330en
dc.subject.keywordHeterogeneous firmsen
dc.subject.keywordgravity equationsen
dc.subject.keywordgeneral equilibriumen
dc.subject.keywordmonopolistic competitionen
dc.subject.keywordvariable demand elasticitiesen
dc.subject.stwHandelsregionalismusen
dc.subject.stwWirtschaftsintegrationen
dc.subject.stwGrenzgebieten
dc.subject.stwLohnen
dc.subject.stwProduktivitäten
dc.subject.stwGravitationsmodellen
dc.subject.stwAllgemeines Gleichgewichten
dc.subject.stwMonopolistischer Wettbewerben
dc.subject.stwKanadaen
dc.subject.stwUSAen
dc.titleTrade, wages, and productivity-
dc.type|aWorking Paperen
dc.identifier.ppn578593580en
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungenen

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