FLEXIBILITY AND PRODUCTIVITY: TOWARD THE UNDERSTANDING OF FIRM HETEROGENEITY
利用中国企业数据发现四个新事实，表明标准贸易模型需加入灵活性异质性，并揭示生产率与灵活性之间存在权衡，忽略灵活性会严重低估贸易的福利效应。
Abstract We document four new stylized facts using Chinese firm‐level data to show that the standard single‐attribute model of trade, in which firms only differ in productivity, must be augmented with an additional layer of heterogeneity to match the facts. To match the evidence, a model requires heterogeneity in flexibility, namely, the ability to introduce new varieties in a destination at low costs. We calibrate our model and find suggestive evidence of a trade‐off between productivity and flexibility. Furthermore, we show that ignoring firm flexibility causes a large underestimation of the welfare effects of trade.