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Matching and Inequality in the World Economy

Arnaud Costinot and Jonathan Vogel

Journal of Political Economy, 2010, vol. 118, issue 4, 747-786

Abstract: This paper develops tools and techniques to analyze the determinants of factor allocation and factor prices in economies with a large number of goods and factors. The main results of our paper characterize sufficient conditions for robust monotone comparative statics predictions in a Roy-like assignment model. These general results are then used to generate new insights about the consequences of globalization. (c) 2010 by The University of Chicago. All rights reserved.

Date: 2010
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