Networks versus Markets in International TradeJames E. Rauch
NBER Working Paper No. 5617 I propose a network/search view of international trade in differentiated products. I present evidence that supports the view that proximity and common language/colonial ties are more important for differentiated products than for products traded on organized exchanges in matching international buyers and sellers, and that search barriers to trade are higher for differentiated than for homogeneous products. I also discuss alternative explanations for the findings.
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Machine-readable bibliographic record - MARC, RIS, BibTeX Published: "Networks Versus Markets in International Trade," Journal of International Economics, Vol. 48 (June 1999): 7-35. Users who downloaded this paper also downloaded these:
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