Growth and welfare effects of unilateral trade liberalization with heterogeneous firms and asymmetric countries
构建了一个包含内生增长、异质性企业和不对称国家的两国模型，研究单边贸易自由化如何通过企业间资源再配置影响长期增长和福利，发现增长促进型自由化不一定提高所有国家的长期福利。
How do reallocations across heterogeneous firms induced by unilateral trade liberalization affect long-run growth and welfare? To answer this question, we formulate a two-country model of endogenous growth, heterogeneous firms, and asymmetric countries. The relative wage and number of domestic varieties are endogenously determined. We show that even unilateral trade liberalization can raise the balanced growth rate. Although growth-enhancing trade liberalization is always welfare-enhancing in the symmetric country case, it does not generally ensure higher long-run welfare for at most one country because of asymmetric real wage effects caused by a change in the relative number of varieties.