Events

Dr. Natalia Ramondo
Associate Professor
Department of Economics
Boston University

We develop a trade model where correlation in productivity between countries arises from technological similarity. The model spans the full class of generalized extreme value (GEV) import demand systems and formalizes Ricardo’s insight that countries with relatively dissimilar technology gain more from trade. Our characterization of productivity links the GEV structure to technological primitives, providing the basis for an estimation procedure for correlation. We estimate significant differences in technological sharing across sectors and countries. These estimates imply larger and more heterogenous gains from trade relative to models that assume independent productivity across sectors.

This is a joint seminar organized by HKU, CUHK, City U, HKUST and Lingnan U.

Please contact Xiameng PAN at xmpan@connect.hku.hk for registration.