What Goods Do Countries Trade? A Quantitative Exploration of Ricardo's Ideas
---- Acknowledgements ----
We thank Gene Grossman, Gordon Hanson, Giovanni Maggi, Jim Rauch, Stephen Redding, Frédéric Robert-Nicoud, Bob Staiger, Kjetil Storesletten, Jonathan Vogel, Kei-Mu Yi, three anonymous referees, and seminar participants at many institutions for very helpful comments. We also thank Don Davis and Sam Kortum for stimulating discussions and precious advice at the Princeton IES Summer Workshop. Nadege Plesier provided excellent research assistance. This paper is a heavily revised version of the 2007 NBER working paper "What Goods Do Countries Trade? New Ricardian Predictions". The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.