This chapter reviews the new approach to international trade based on firm heterogeneity in
differentiated product markets. This approach explains a variety of features exhibited in …

Economists have shown that large and persistent differences in productivity levels across
businesses are ubiquitous. This finding has shaped research agendas in a number of fields …

This article examines the role of ownership for the relationship between innovation and
exports. Analyzing a large firm-level data set on Chinese manufacturing firms during 2000 …

We study the nonparametric identification of gross output production functions under the
environment of the commonly employed proxy variable methods. We show that applying …

Does digitalization by firms spur participation in Global Value Chains (GVCs)? Rapid strides
in information and communication technology (ICT) through cost-effective and reliable …

We develop and structurally estimate a model of heterogeneous multiproduct firms that can
be used to decompose the firm-size distribution into the contributions of …

Progressing to higher economic complexity is widely believed to be a vital economic growth
strategy. While most studies examine factors that enhance the sophistication of an economy …

Using a novel common econometric specification, we examine the measurement of three
important effects in international trade that historically have been addressed largely …

This article reviews the empirical evidence on firm heterogeneity in international trade. A first
wave of empirical findings from microdata on plants and firms proposed challenges for …

While neoclassical theory emphasizes the impact of trade on wage inequality between
occupations and sectors, more recent theories of firm heterogeneity point to the impact of …