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Article dans une revue Theoretical Economics Letters Année : 2022

The Role of Intra-National Trade in Trade Theory

Résumé

This paper explores the implications arising from the heterogeneous firm model for a theory of trade in which intranational trade is an intrinsic part, and international trade is its extension. Due to market competition, intranational trade dynamically leads to an increase in productivity heterogeneity across firms, which strengthens market selection and makes allocation more efficient. It also strengthens comparative advantage, and thus stimulates international trade
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Dates et versions

halshs-03916051, version 1 (06-01-2023)

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Yong He, Guangzhen Sun. The Role of Intra-National Trade in Trade Theory. Theoretical Economics Letters, 2022, 12 (06), pp.1673-1692. ⟨10.4236/tel.2022.126092⟩. ⟨halshs-03916051⟩
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