On the heterogeneous welfare gains and losses from trade

• 成果类型: Article; Proceedings Paper
• 署名作者: Carroll, Daniel R.; Hur, Sewon
• 署名单位: Federal Reserve System - USA; Federal Reserve Bank - Cleveland
• 刊物名称: JOURNAL OF MONETARY ECONOMICS
• ISSN/ISSBN: 0304-3932
• DOI: 10.1016/j.jmoneco.2019.10.009
• 发表日期: 2020
• 页码: 1-16
• 关键词: Trade gains; INEQUALITY; consumption

摘要

How are the gains and losses from trade distributed across households? We document that tradable goods and services constitute a larger fraction of expenditures for low-wealth and low-income households. Using a trade model with nonhomothetic preferences and uninsurable earnings risk, we measure the differential welfare gains from trade along the income and wealth distribution. A permanent reduction in trade costs that generates the rise in import share of GDP seen in the data from 2001 to 2014 leads to 57% larger welfare gains for households in the lowest wealth decile relative to those in the highest wealth decile. (C) 2019 Elsevier B.V. All rights reserved.