Two-Sided Market Power in Firm-to-Firm Trade

We thank the editor Arnaud Costinot and three anonymous referees for constructive comments and suggestions. For helpful conversations and discussions, we thank Rodrigo Adao, Pol Antrás, Ariel Burstein, Julia Cajal-Grossi, Thomas Chaney, Keith Head, Ali Hortacsu, Michael Irlacher, Oleg Itshkoki, Amit Khandelwal, Yuriy Gorodnichenko, Guillermo Marshall, Kiminori Matsuyama, Thierry Mayer, Isabelle Mejean, Marc Melitz, Scott Orr, Ina Simonovska, Felix Tintelnot, Trevor Tombe, Gustavo Ventura, and Jing Zhang. We also thank participants at seminars at ASU, UC Berkeley, Boston College, Boston University, CREST, CUHK, Dartmouth, Duke, FED Board, Georgetown, Harvard, UC Irvine, ITAM, JGU Mainz, Keio, LMU, LSE, MIT, National Taiwan, Nottingham, NYU, Osaka, Oxford, Peking, Penn State, Princeton, Prometeia, Queens, UC San Diego, Sciences Po, Seoul National, Tokyo, UBC, UCL, USC, UToronto, Wisconsin Madison, Yokohama National, and Yonsei. Siying Wang provided excellent research assistance. Any views expressed are those of the authors and not those of the US Census Bureau. The Census Bureau has reviewed this data product to ensure appropriate access, use, and disclosure avoidance protection of the confidential source data used to produce this product. This research was performed at a Federal Statistical Research Data Center under FSRDC Project Number 2109. (CBDRB-FY25-P2109-R12520). Alviarez and Kikkawa are supported in part by funding from the Social Sciences and Humanities Research Council. All errors are our own. The views expressed herein are those of the authors and do not necessarily reflect the views of the US Census Bureau or of the National Bureau of Economic Research.

• online appendix

• May 9, 2023
• July 18, 2025
• May 4, 2026