NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH

Firm Heterogeneity and Costly Trade: A New Estimation Strategy and Policy Experiments

Ivan Cherkashin, Svetlana Demidova, Hiau Looi Kee, Kala Krishna

NBER Working Paper No. 16557
Issued in November 2010

---- Acknowledgements -----

We are very grateful for comments from Susumu Imai, David Levine, Ralph Ossa, Joris Pinske, Andrés Rodríguez-Clare, Ina Simonovska, James Tybout, and Anthony Venables. We are especially grateful to Jonathan Eaton for detailed comments on an early draft. We also thank the IGC for support that granted us access to the customs dataset used. Krishna is grateful to the Human Capital Foundation for research support and to the International Economics Section at Princeton University, where this work was started, for a Peter Kenen Fellowship. Demidova thanks the Social Science and Humanities Research Council of Canada and the Arts Research Board of McMaster University for financial support. The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.

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