Econ 8401: International Trade and Payments Theory

Econ 8401: International Trade and Payments Theory

Fall 2010

Course home page: http://www.econ.umn.edu/~tkehoe/classes/8401-10.html

Mon Sept 13 (Kehoe)

Mon Sept 20 (Holmes) (slides)

Eaton and Kortum, “Technology, Geography, and Trade, Econometrica, 70(5), 2002, 1741-1779.

Andrew B. Bernard; Jonathan Eaton; J. Bradford Jensen; Samuel Kortum, “Plants and Productivity in International Trade The American Economic Review, Vol. 93, No. 4. (Nov., 2003), pp. 1268-1290.

T. Chaney, "Distorted Gravity: Heterogeneous Firms, Market Structure and the Geography of International Trade," American Economic Review, 98 (2008), 1707–21

Mon Sept 27 (Holmes) (slides)

Eaton, Jonathan, Sam Kortum, and Francis Kramarz,”An Anatomy of International Trade: Evidence from French Firms,” manuscript, 2010.

Melitz, M. J. and G. Ottaviano (2008), “Market size, trade, and productivity," Review of Economic Studies, 75(1): 295-316.

Mon Oct 4 (Kehoe)

Mon Oct 11 (Kehoe)

Mon Oct 18 (Kehoe)

Mon Oct 25 (Kehoe)

Mon Nov 1 (Holmes) (slides)

Ottaviano, G., T. Tabuchi and J.-F. Thisse (2002), “Agglomeration and trade revisited," International Economic Review, 43(2): 409-435.

Holmes, Thomas J, Wen-Tai Hsu, and Sanghoon Lee, “Plants and Productivity in Regional Agglomeration,” November, 2010

Stephen Redding and Daniel Sturm, "The Costs of Remoteness: Evidence from German Division and Reunification" American Economic Review, 98(5), 1766-1797, 2008

Costas Arkolakis, Arnaud Costinot, Andrés Rodríguez-Clare, "New Trade Models, Same Old Gains?" working paper, Sept 6, 2010.

Mon Nov 8 (Holmes) (slides)

Foreign Direct Investment

Ellen R. McGrattan , and Edward C. Prescott, “Openness, technology capital, and development,” Journal of Economic Theory, Volume 144, Issue 6, November 2009, Pages 2454-2476

Natalia Ramondo and Andres Rodrıguez-Clare, "Trade, Multinational Production, and the Gains from Openness,", December 2009

Elhanan Helpman, Marc J. Melitz and Stephen R. Yeaple, Export versus FDI with Heterogeneous Firms, The American Economic Review Vol. 94, No. 1 (Mar., 2004), pp. 300-316

Mon Nov 15 (Kehoe)

Mon Nov 22 (Holmes) (slides)

Border Day

James E. Anderson and Eric van Wincoop, “Gravity with Gravitas: A Solution to the Border Puzzle,” The American Economic Review, Vol. 93, No. 1 (Mar., 2003), pp. 170-192

Christian Broda, David E. Weinstein, “Understanding International Price Differences Using Barcode Data,” NBER Working Paper No. 14017, May 2008.

Holmes, Thomas J. and John J. Stevens, “Exports, Borders, Distance, and Plant Size,” NBER working paper #16046, June, 2010

Mon Nov 29 (Holmes) (slides)

Trade and Wages

Will go through this:

Elhanan Helpman, Oleg Itskhoki, Stephen Redding,” Inequality and Unemployment in a Global Economy,” Econometrica, Volume 78, Issue 4, pages 1239–1283, July 2010

And may also mention:

Eric A. Verhoogen, “Trade, Quality Upgrading, and Wage Inequality in the Mexican Manufacturing Sector,” Quarterly Journal of Economics May 2008, Vol. 123, No. 2: 489–530.

Arnaud Costinot, Jonathan Vogel, “Matching and Inequality in the World Economy,” Journal of Political Economy, 118:747–786, August 2010

Holmes, Thomas J.; Mitchell, Matthew F, “A theory of factor allocation and plant size, RAND Journal of Economics, Summer2008, Vol. 39 Issue 2, p329-351.

Pinelopi Koujianou Goldberg and Nina Pavcnik, “Distributional Effects of Globalization in Developing Countries,” Journal of Economic Literature,Vol. 45, No. 1 (Mar., 2007), pp. 39-

Mon Dec 6 (Groups present projects)

Homework 4 (Due Monday, Dec.13)