The pro-competitive gains from trade with variable markup and multiple factors

• Main Authors: Chen, Yongxiao, Li, Xinxin, Liu, Yaxin
• Other Authors: Chen Xin
• Format: Final Year Project
• Language: English
• Published: 2017
• Subjects: DRNTU::Humanities
• Online Access: http://hdl.handle.net/10356/69934
• Institution: Nanyang Technological University

The paper investigates the welfare gains from trade liberalization in the presence of multiple factors, multiple industries and variable markup. We extend Bernard, Redding and Schott (2007) to incorporate variable markup, using additively separable utility. We then characterize the equilibrium un...