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Networks and Trade

Andrew Bernard () and Andreas Moxnes

No 24556, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: Trade occurs between firms both across borders and within countries, and the vast majority of trade transactions includes at least one large firm with many trading partners. This paper reviews the literature on firm-to-firm connections in trade. A growing body of evidence coming from domestic and international transaction data has established empirical regularities which have inspired the development of new theories emphasizing firm heterogeneity among both buyers and suppliers in production networks. Theoretical work has considered both static and dynamic matching environments in a framework of many-to-many matching. The literature on trade and production networks is at an early stage, and there are a large number of unanswered empirical and theoretical questions.

JEL-codes: F10 F12 F14 L11 L21 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-bec, nep-int and nep-net
Date: 2018-04
Note: ITI
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Published as Andrew B. Bernard & Andreas Moxnes, 2018. "Networks and Trade," Annual Review of Economics, vol 10(1).

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