Inequality and unemployment in a global economy (2009)
Helpman, Elhanan, Itshoki, Oleg, Redding, Stephen
This paper develops a new framework for examining the distributional consequences of international trade that incorporates firm and worker heterogeneity, search and matching frictions in the labor...
Oleg Itskhoki Harvard University (2008)
Elhanan Helpman, Stephen Redding
This paper develops a new framework for examining the distributional consequences of trade liberalization that is consistent with increasing inequality in every country, growth in residual wage...
World merchandise exports amounted to $5.3 trillion in 1997 and exports of commercial services amounted to $1.3 trillion. These are unprecedented volumes that have expanded much faster than income in...
Forthcoming, Journal of Political Economy (2007)
Simon J. Evenett, Wolfgang Keller, Mahmoud El-gamal, Gordon Hanson, Elhanan Helpman, Dan Treßer
especially to an anonymous referee. We also thank Jim Rauch and Karl Aiginger for providing data used in this paper.
Real Business Cycles in a Small Open Economy with Non-Traded Goods* Ayelet Balsam and (2007)
Zvi Eckstein, Lars Christiano, Marian Baxter, Elhanan Helpman, Benjamin Bental
Levy, Eran Yashiv, Oved Yosha, and all the participants in the macroeconomic seminar at Tel-Aviv University, for their helpful comments. 1
Accounting for Incomplete Pass-Through Emi Nakamura ∗ Harvard University (2007)
To Ulrich Dorazelski, Tim Erickson, Gita Gopinath, Joseph Harrington, Elhanan Helpman, David Laibson, ...
Recent theoretical work has suggested a number of potentially important factors in causing incomplete pass-through of exchange rates to prices, including markup adjustment, local costs and barriers...
Ricardo Hausmann, Bailey Klinger, Ricardo Caballero, Oded Galor, Elhanan Helpman, Cesar Hidalgo, ...
What determines the evolution of a country’s comparative advantage across products? Or put another way, what governs the pattern of structural transformation? Does the initial pattern of...
Do Exports Generate Higher Productivity? Evidence from Slovenia. ∗ (2006)
De Loecker Jan, Ann Harrison, Elhanan Helpman, Ali Hortascu, Nina Pavcnik, Damiaan Persyn, ...
I use matched sampling techniques to analyze whether firms that start exporting become more productive, controlling for the self selection into export markets. To this end, I use micro data of...
Ricardo Hausmann, Bailey Klinger, Ricardo Hausmann, Bailey Klinger, Ricardo Hausmann, Bailey Klinger, ...
In this paper we examine the product space and its consequences for the process of structural transformation. We argue that the assets and capabilities needed to produce one good are imperfect...
Lobbying and Legislative Bargaining (2001)
Helpman, Elhanan, Persson, Torsten
We examine the effects of the interaction between lobbying and legislative bargaining on policy formation. Two systems are considered: a US-style congressional system and a European-style...
Lobbying and Legislative Bargaining (2001)
Helpman, Elhanan, Persson, Torsten
We examine the effects of the interaction between lobbying and legislative bargaining on policy formation. Two systems are considered: a US-style congressional system and a European-style...
Lobbying and Legislative Bargaining (2001)
Helpman, Elhanan, Persson, Torsten
We examine the effects of the interaction between lobbying and legislative bargaining on policy formation. Two systems are considered: a US-style congressional system and a European-style...
Lobbying and Legislative Bargaining (2001)
Helpman, Elhanan, Persson, Torsten
We examine the effects of the interaction between lobbying and legislative bargaining on policy formation. Two systems are considered: a US-style congressional system and a European-style...
Silvana Tenreyro, Doireann Fitzgerald, Robin Greenwood, Juan Carlos Hallak, Elhanan Helpman, Shang-jin Wei, ...
Why do countries participate in currency unions or unilaterally adopt a foreign currency? I investigate the roles of geography, synchronization of economic shocks, cultural similarity, size,...
Replication data for: International R&D Spillovers (1995)
A model is presented based on recent theories of economic growth that treat commercially oriented innovation efforts as a major engine of technological progress. We study the extent to which a...
Helpman, Elhanan, Razin, Assaf, Sadka, Efraim
Proceding of the Fourth Pinhas Sapir Conference on Development, held in Dec. 1986 and sponsored by the Pinhas Sapir Center for Development at Tel-Aviv University
Helpman, Elhanan, Krugman, Paul R
Incluye bibliografía
Macroeconomic policy and employment in an open economy with nontraded goods / (1974)
Photoreprint ed.
Contracts and the Division of Labor
Daron Acemoglu, Pol Antrà s, Elhanan Helpman
We develop a tractable framework for the analysis of the relationship between contractual incompleteness, technological complementarities, and technology adoption. In our model a firm chooses its...
The Politics of Free-Trade Agreements.
Grossman, Gene M, Helpman, Elhanan
Suppose that an opportunity arises for two countries to negotiate a free-trade agreement. Will a free-trade agreement between these countries be politically viable and, if so, what form will it take?...
Optimal Integration Strategies for the Multinational Firm
Gene M. Grossman, Elhanan Helpman, Adam Szeidl
We examine integration strategies of multinational firms that face a rich array of choices of international organization. Each firm in an industry must provide headquarter services from its home...
A Protectionist Bias in Majoritarian Politics
Gene M. Grossman, Elhanan Helpman
We develop a novel model of campaigns, elections, and policymaking in which the ex ante objectives of national party leaders differ from the ex post objectives of elected legislators. This generates...
Grossman, Gene M, Helpman, Elhanan
When governments meet in the international arena, their actions reflect the political situations at home. Previous studies of trade relations have focused on governments that are immune from...
Outsourcing in a Global Economy
Gene M. Grossman, Elhanan Helpman
We study the determinants of the location of subcontracted activity in a general equilibrium model of outsourcing and trade. We model outsourcing as an activity that requires search for a partner and...
Trade, FDI, and the Organization of Firms
New developments in the world economy have triggered research designed to better understand the changes in trade and investment patterns, and the reorganization of production across national borders....
Separation of Powers and the Budget Process
Grossman, Gene, Helpman, Elhanan
We study budget formation in a model featuring separation of powers. In our model, the legislature designs a budget bill that can include a cap on total spending and earmarked allocations to...
Outsourcing Versus FDI in Industry Equilibrium
Gene M. Grossman, Elhanan Helpman
We study the determinants of the extent of outsourcing and of direct foreign investment in an industry in which producers need specialized components. Potential suppliers must make a...
Outsourcing versus FDI in Industry Equilibrium?
Gene M. Grossman, Elhanan Helpman
We study the determinants of the extent of outsourcing and of direct foreign investment in an industry in which producers need specialized components. Potential suppliers must make a...
Outsourcing in a Global Economy?
Gene M. Grossman, Elhanan Helpman
We study the determinants of the location of sub-contracted activity in a general equilibrium model of outsourcing and trade. We model outsourcing as an activity that requires search for a partner...
Managerial Incentives and the International Organization of Production
Gene M. Grossman, Elhanan Helpman
We develop a model in which the heterogeneous firms in an industry choose their modes of organization and the location of their subsidiaries or suppliers. We assume that the principals of a firm are...
Elhanan Helpman, Marc J. Melitz, Stephen R. Yeaple
This paper builds a multi-country, multi-sector general equilibrium model that explains the decision of heterogeneous firms to serve foreign markets either through exports or local subsidiary sales...
We present a North—South model of international trade in which differentiated products are developed in the North. Sectors are populated by final-good producers who differ in productivity levels....
Optimal Integration Strategies for the Multinational Firm
Gene M. Grossman, Elhanan Helpman, Adam Szeidl
We examine integration strategies of multinational firms that face a rich array of choices of international organization. Each firm in an industry must provide headquarter services from its home...
Contracts and the Division of Labor
Daron Acemoglu, Pol Antras, Elhanan Helpman
We present a tractable framework for the analysis of the relationship between contract incom- pleteness, technological complementarities and the division of labor. In the model economy, a firm...
Party Discipline and Pork-Barrel Politics
Gene M. Grossman, Elhanan Helpman
Polities differ in the extent to which political parties can pre-commit to carry out promised policy actions if they take power. Commitment problems may arise due to a divergence between the ex ante...
Trade, FDI, and the Organization of Firms
New developments in the world economy have triggered research designed to better understand the changes in trade and investment patterns, and the reorganization of production across national borders....
Separation of Powers and the Budget Process
Gene M. Grossman, Elhanan Helpman
We study budget formation in a model featuring separation of powers. In our model, the legislature designs a budget bill that can include a cap on total spending and ear- marked allocations to...
Electoral Competition with Policy Compromise
Grossman, Gene M., Helpman, Elhanan
We study the electoral competition between two parties vying for seats in a legislature. The electorate includes knowledgeable voters and impressionable voters, the latter susceptible to...
Contractual Frictions and Global Sourcing
We generalize the Antràs and Helpman (2004) model of the international organization of production in order to accommodate varying degrees of contractual frictions. In particular, we allow the degree...
Party Discipline and Pork-Barrel Politics
Grossman, Gene, Helpman, Elhanan
Polities differ in the extent to which political parties can pre-commit to carry out promised policy actions if they take power. Commitment problems may arise due to a divergence between the ex ante...
A Protectionist Bias in Majoritarian Politics
Grossman, Gene, Helpman, Elhanan
We develop a novel model of campaigns, elections, and policymaking in which the ex ante objectives of national party leaders differ from the ex post objectives of elected legislators. This generates...
Inflationary Consequences of Anticipated Macroeconomic Policies
We consider a model in which the level of taxes and seignorage are too low to finance government expenditures and debt service. Government debt will therefore grow without bound, implying the...
Exchange Rate Management: Intertemporal Tradoffs
The management of the exchange rate is possible only if the government pursues a monetary-fiscal policy mix which is consistent with its exchange rate targets. In this paper with uncertainty...
Macroeconomic Effects of Price Controls: The Role of Market Structure
Price controls were part of Israel's stabilization program of July 1985. Some results of the program seem to be inconsistent with competitive macroeconomic models. It is suggested that these results...
Growth, Technological Progress, and Trade
Recent developments in the theory of economic growth and dynamic trade theory are reviewed and interpreted. These include growth based on economies of scale, trade with product development, and...
Real Wages, Monetary Accommodation, and Inflation
Elhanan Helpman, Leonardo Leiderman
We analyze the dynamics of inflation in an economy characterized by a forward-looking, staggered, price and wage determination process, and by monetary accommodation. In our model, inflation...
Tax Credits for Debt Reduction
Michael P. Dooley, Elhanan Helpman
The incentives for domestic investment in debtor countries are influenced by the terms of their external obligations and by the system of taxation utilized to provide government revenue for debt...
Gene M. Grossman, Elhanan Helpman
We construct a model of the product cycle featuring endogenous innovation and endogenous technology transfer. Competitive entrepreneurs in the North expend resources to bring out new products...
Growth and Welfare in A Small Open Economy
Gene M. Grossman, Elhanan Helpman
We construct a model of growth based on endogenous technological change in a small, open economy. Entrepreneurs develop new intermediate products whenever the present value of potential profits...
Quality Ladders and Product Cycles
Gene M. Grossman, Elhanan Helpman
We develop a two-country model of endogenous innovation and imitation in order to study the interactions between these two processes. Firms in the North race to bring out the next generation of a set...
Innovation, Imitation, and Intellectual Property Rights
The debate between the North and the South about the enforcement of intellectual property rights in the South is examined within a dynamic general equilibrium framework in which the North innovates...
Estimating Trade Flows: Trading Partners and Trading Volumes
Elhanan Helpman, Marc Melitz, Yona Rubinstein
We develop a simple model of international trade with heterogeneous firms that is consistent with a number of stylized features of the data. In particular, the model predicts positive as well as zero...
Voluntary Debt Reduction: Incentives and Welfare
In an economy with a debt overhang, investment depends on expected tax rates. On the other hand, expected tax rates depend on the debt's face value. Therefore investment depends on the face value of...
Comparative Advantage and Long-Run Growth
Gene M. Grossman, Elhanan Helpman
We construct a dynamic, two-country model of trade and growth in which endogenous technological progress results from the profit-maximizing behavior of entrepreneurs. We study the role that the...
Quality Ladders in the Theory of Growth
Gene M. Grossman, Elhanan Helpman
We develop a model of repeated product improvements in a continuum of sectors. Each product follows a stochastic progression up a quality ladder. Progress is not uniform across sectors, so an...
Intergenerational Redistribution with Short-Lived Governments
Gene M. Grossman, Elhanan Helpman
We study the politics of intergenerational redistribution in an overlapping generations model with short-lived governments. The successive governmentsþwho care about the welfare of the currently...
We present a North South model of international trade in which differentiated products are developed in the North. Sectors are populated by final-good producers who differ in productivity levels....
Philippe Aghion, Pol Antrà s, Elhanan Helpman
We develop a dynamic bargaining model in which a leading country endogenously decides whether to sequentially negotiate free trade agreements with subsets of countries or engage in simultaneous...
Contractual Frictions and Global Sourcing
We generalize the Antras and Helpman (2004) model of the international organization of production in order to accommodate varying degrees of contractual frictions. In particular, we allow the degree...
Gene M. Grossman, Elhanan Helpman
Endorsements are a simple language for communication between interest group leaders and group members. The members, who share policy concerns, may not perfectly understand where their interests lie...
Comparative Advantage and Long-run Growth.
Grossman, Gene M, Helpman, Elhanan
The authors construct a dynamic, two country model of trade and growth in which endogenous technological progress results from the profit-maximizing behavior of entrepreneurs. They study the role...
Exchange Rate Management: Intertemporal Tradeoffs.
Helpman, Elhanan, Razin, Assaf
Exchange-rate management is possible only if the government pursues consistent monetary and fiscal policies. The authors constructa model in which the real consequences of exchange-rate management...
The Structure of Foreign Trade
During the last two decades, new research has greatly advanced the understanding of the structure of world trade. While research in the 1960s and 1970s provided mostly theoretical insights, major...
Trade, FDI and the Organization of Firms
New developments in the world economy have triggered research designed to better understand the changes in trade and investment patterns, and the reorganization of production across national borders....
Intergenerational Redistribution with Short-Lived Governments.
Grossman, Gene M, Helpman, Elhanan
The authors study the politics of intergenerational redistribution in an overlapping generations model with short-lived governments. The successive governments--who care about the welfare of the...
Adjusting to a New Technology: Experience and Training.
Helpman, Elhanan, Rangel, Antonio
How does the economy react to the arrival of a new major technology? The existing literature on general-purpose technologies (GPTs) has studied the role that mechanisms like secondary innovations,...
Trading Partners and Trading Volumes
Elhanan Helpman, Marc Melitz, Yona Rubinstein
PRELIMINARY AND INCOMPLETE
Trade, FDI, and the Organization of Firms
New developments in the world economy have triggered research designed to better understand the changes in trade and investment patterns, and the reorganization of production across national borders....
Contracts and Technology Adoption
Daron Acemoglu, Pol Antràs, Elhanan Helpman
We develop a tractable framework for the analysis of the relationship between contractual incompleteness, technological complementarities, and technology adoption. In our model, a firm chooses its...
Optimal Integration Strategies for the Multinational Firm
Gene M. Grossman, Elhanan Helpman, Adam Szeidl
We examine integration strategies of multinational firms that face a rich array of choices of international organization. Each firm in an industry must provide headquarter services from its home...
Managerial Incentives and the International Organization of Production
Gene M. Grossman, Elhanan Helpman
We develop a model in which the heterogeneous firms in an industry choose their modes of organization and the location of their subsidiaries or suppliers. We assume that the principals of a firm are...
Outsourcing versus FDI in Industry Equilibrium
Gene M. Grossman, Elhanan Helpman
We study the determinants of the extent of outsourcing and of direct foreign investment in an industry in which producers need specialized components. Potential suppliers must make a...
Outsourcing in a Global Economy
Gene M. Grossman, Elhanan Helpman
We study the determinants of the location of sub-contracted activity in a general equilibrium model of outsourcing and trade. We model outsourcing as an activity that requires search for a partner...
Optimal Integration Strategies for the Multinational Firm
Gene M. Grossman, Elhanan Helpman, Adam Szeidl
We examine integration strategies of multinational firms that face a rich array of choices of international organization. Each firm in an industry must provide headquarter services from its home...
Managerial Incentives and the International Organization of Production
Gene M. Grossman, Elhanan Helpman
We develop a model in which the heterogeneous firms in an industry choose their modes of organization and the location of their subsidiaries or suppliers. We assume that the principals of a firm are...
Outsourcing versus FDI in Industry Equilibrium
Gene M. Grossman, Elhanan Helpman
We study the determinants of the extent of outsourcing and of direct foreign investment in an industry in which producers need specialized components. Potential suppliers must make a...
Outsourcing in a Global Economy
Gene M. Grossman, Elhanan Helpman
We study the determinants of the location of sub-contracted activity in a general equilibrium model of outsourcing and trade. We model outsourcing as an activity that requires search for a partner...
Integration vs. Outsourcing in Industry Equilibrium
Gene Grossman, Elhanan Helpman
We develop an equilibrium model of industrial structure in which the organization of firms is endogenous. Differentiated consumer products can be produced either by vertically integrated firms or by...
Electoral Competition and Special Interest Politics.
Grossman, Gene M, Helpman, Elhanan
We study the competition between two political parties for seats in a legislature. The parties have fixed positions on some issues, but vary their positions on others in order to attract votes and...
Quality Ladders in the Theory of Growth.
Grossman, Gene M, Helpman, Elhanan
The authors develop a model of repeated product improvements in a continuum of sectors. Each product follows a stochastic progression up a quality ladder. Progress is not uniform across sectors, so...
Inflationary Consequences of Anticipated Macroeconomic Policies.
Drazen, Allan, Helpman, Elhanan
Budget deficits implying an unbounded present value of government debt are infeasible and, hence, induce expectations of a future policy change. The authors study how expectations of a policy switch,...
Innovation, Imitation, and Intellectual Property Rights.
The debate between the North and the South about the enforcement of intellectual property rights is examined within a dynamic general equilibrium framework in which the North invents new products and...
Trade Patterns under Uncertainty with Country Specific Shocks.
The Helpman-Razin model of international trade under uncertainty is extended to allow for country-specific productivi ty shocks. It is shown that, for the multiple-sector multiple-factor case, there...
Grossman, Gene M, Helpman, Elhanan
The authors develop a model in which special-interest groups make political contributions in order to influence an incumbent government's choice of trade policy. The interest groups bid for...
The Simple Analytics of Debt-Equity Swaps.
Recent attempts to resolve the international debt crisis have lead some countries to engage in debt-equity swaps. This paper explores conditions under which such transactions are beneficial to the...
Vertical Product Differentiation and North-South Trade.
The authors study international trade between the North and the South where the industrial sector produces goods of different quality. The North exports high-quality products, the South low-quality...
Endogenous Innovation in the Theory of Growth.
Grossman, Gene M, Helpman, Elhanan
This paper makes the case that purposive, profit-seeking investments in knowledge play a critical role in the long-run growth process. First, the authors review the implications of neoclassical...
Grossman, Gene, Helpman, Elhanan
Whether governments clash in trade disputes or negotiate over trade agreements, their actions in the international arena reflect political conditions back home. Previous studies of cooperative and...
A Time to Sow and a Time to Reap: Growth Based on General Purpose Technologies
Helpman, Elhanan, Trajtenberg, Manuel
We develop a model of growth driven by successive improvements in `General Purpose Technologies' (GPTs), such as the steam engine, electricity, or micro-electronics. Each new generation of GPTs...
Grossman, Gene, Helpman, Elhanan
Endorsements are a simple language for communication between well-informed interest-group leaders and less-informed interest-group members. The members, who share some policy concerns, may not fully...
Helpman, Elhanan, Melitz, Marc J, Yeaple, Stephen R
This Paper builds a multi-country, multi-sector general equilibrium model that explains the decision of heterogeneous firms to serve foreign markets either through exports or local subsidiary sales...
Coe, David T, Helpman, Elhanan, Hoffmaister, Alexander W
The authors examine the extent to which developing countries that do little, if any, research and development themselves benefit from R&D that is performed in the industrial countries. By trading...
Grossman, Gene M, Helpman, Elhanan
The authors construct a model of the product cycle featuring endogenous innovation and technology transfer. Competitive entrepreneurs in the industrialized North introduce new products whenever the...
Macroeconomic Effects of Price Controls: The Role of Market Structure.
Price controls were part of Israel's stabilization program of July 1985. Some results of the program seem to be inconsistent with competitive macroeconomic models. It is suggested that these results...
Grossman, Gene, Helpman, Elhanan
We develop a model in which special interest groups make political contributions in order to influence an incumbent government's choice of trade policy. In the political equilibrium, the interest...
Coe, David T, Helpman, Elhanan
Investment in research and development (R&D) affects a country's total factor productivity. Recently new theories of economic growth have emphasized this link and have also identified a number of...
The Politics of Free Trade Agreements
Grossman, Gene, Helpman, Elhanan
Suppose that an opportunity arises for two countries to negotiate a free trade agreement (FTA). Will an FTA between these countries be politically viable? If so, what form will it take? We address...
Coe, David T, Helpman, Elhanan, Hoffmaister, Alexander
We examine the extent to which developing countries that do little, if any, research and development themselves benefit from R&D that is performed in the industrial countries. By trading with an...
Grossman, Gene, Helpman, Elhanan
We review the literature on the links between technology and international trade. The older literature assumed exogenous technologies and focused on their effects on the structure of foreign trade...
The paper first describes a number of political economy approaches that have been developed to explain trade policies. All approaches are presented in a unified framework that helps to identify the...
Intergenerational Redistribution with Short-lived Governments
Grossman, Gene, Helpman, Elhanan
We study the politics of intergenerational redistribution in an overlapping-generations model with short-lived governments. The successive governments – who care about the welfare of the...
Common Agency and Coordination: General Theory and Application to Tax Policy
Dixit, Avinash K, Grossman, Gene, Helpman, Elhanan
We develop a model of common agency with complete information and general preferences with non-transferable utility, and prove that the principals’ Nash equilibrium in truthful strategies...
R&D Spillovers and Global Growth
Bayoumi, Tamim, Coe, David T, Helpman, Elhanan
We examine the growth promoting roles of R&D, international R&D spillovers, and trade in a world econometric model. A country can raise its total factor productivity by investing in R&D. Countries...
Adjusting to a New Technology: Experience and Training
Helpman, Elhanan, Rangel, Antonio
In this paper we study how aggregate output responds to the arrival of a new General Purpose Technology (GPT) by looking at adjustment mechanisms that operate through labour markets. We show that...
The Structure of Foreign Trade
During the last two decades new research has greatly advanced our understanding of the structure of world trade. This article reviews the empirical literature that grew out of this effort. I...
Incomplete Contracts and Industrial Organization
Grossman, Gene, Helpman, Elhanan
We develop an equilibrium model of industrial structure in which the organization of firms is endogenous. Differentiated consumer products can be produced either by vertically integrated firms or by...
Outsourcing in a Global Economy
Grossman, Gene, Helpman, Elhanan
We study the determinants of the location of sub-contracted activity in a general equilibrium model of outsourcing and trade. We model outsourcing as an activity that requires search for a partner...
Outsourcing Versus FDI in Industry Equilibrium
Grossman, Gene, Helpman, Elhanan
We study the determinants of the extent of outsourcing and of direct foreign investment in an industry in which producers need specialized components. Potential suppliers must make a...
Managerial Incentives and the International Organization of Production
Grossman, Gene, Helpman, Elhanan
We develop a model in which heterogeneous firms in an industry choose their modes of organization and the location of their subsidiaries or suppliers. We assume that the principals of a firm are...
We present a North-South model of international trade in which differentiated products are developed in the North. Sectors are populated by final-good producers who differ in productivity levels....
Optimal Integration: Strategies for the Multinational Firm
Grossman, Gene, Helpman, Elhanan, Szeidl, Adam
We examine integration strategies of multinational firms that face a rich array of choices of international organization. Each firm in an industry must provide headquarter services from its home...
Integration Versus Outsourcing In Industry Equilibrium
Gene M. Grossman, Elhanan Helpman
We develop an equilibrium model of industrial structure in which the organization of firms is endogenous. Differentiated consumer products can be produced either by vertically integrated firms or by...
A Protectionist Bias in Majoritarian Politics
Gene M. Grossman, Elhanan Helpman
We develop a novel model of campaigns, elections, and policy-making in which the ex ante objectives of national party leaders differ from the ex post objectives of elected legislators. This generates...
Quality Ladders and Product Cycles.
Grossman, Gene M, Helpman, Elhanan
We develop a two-country model of endogenous innovation and imitation in order to study the interactions between these two processes. Firms in the North race to bring out the next generation of a set...
Stabilization with Exchange Rate Management.
Drazen, Allan, Helpman, Elhanan
Stabilization programs in open economies typically consist of two stages. In the first stage, the rate of currency devaluation is reduced, but the fiscal adjustment do es not eliminate the fiscal...
Economic growth , Productivity , Capital goods , Economic models ,
David T. Coe, Elhanan Helpman, Alexander W. Hoffmaister
Development , Economic growth , Developing countries ,
R&D Spillovers and Global Growth
Tamim Bayoumi, David T. Coe, Elhanan Helpman
Economic growth , Trade , Productivity , Economic models ,
Lobbying and Legislative Bargaining
Elhanan Helpman, Torsten Persson
We examine the effects of the interaction between lobbying and legislative bargaining on policy formation. Two systems are considered: a US-style congressional system and a European-style...
Lobbying and Legislative Bargaining
Elhanan Helpman, Torsten Persson
We examine the effects of the interaction between lobbying and legislative bargaining on policy formation. Two systems are considered: a US-style congressional system and a European-style...
A Protectionist Bias in Majoritarian Politics
Grossman, Gene M., Helpman, Elhanan
We develop a novel model of campaigns, elections, and policymaking in which the ex ante objectives of national party leaders differ from the ex post objectives of elected legislators. This generates...
Party Discipline and Pork-Barrel Politics
Grossman, Gene, Helpman, Elhanan
Polities differ in the extent to which political parties can pre-commit to carry out promised policy actions if they take power. Commitment problems may arise due to a divergence between the ex ante...
International R&D Spillovers and Institutions
David T. Coe, Elhanan Helpman, Alexander W. Hoffmaister
The empirical analysis in "International R&D Spillovers" (Coe and Helpman, 1995) is first revisited by applying modern panel cointegration estimation techniques to an expanded data set that we have...
Separation of powers and the budget process
Grossman, Gene M., Helpman, Elhanan
We study budget formation in a model featuring separation of powers. In our model, the legislature designs a budget bill that can include a cap on total spending and earmarked allocations to...
Wages, Unemployment and Inequality with Heterogeneous Firms and Workers
Elhanan Helpman, Oleg Itskhoki, Stephen Redding
In this paper we develop a multi-sector general equilibrium model of firm heterogeneity, worker heterogeneity and labor market frictions. We characterize the distributions of employment,...
International R&D Spillovers and Institutions
Coe, David T, Helpman, Elhanan, Hoffmaister, Alexander
The empirical analysis in "International R&D Spillovers" (Coe and Helpman, 1995) is first revisited by applying modern panel cointegration estimation techniques to an expanded data set that we have...
Estimating Trade Flows: Trading Partners and Trading Volumes
Elhanan Helpman, Marc Melitz, Yona Rubinstein
We develop a simple model of international trade with heterogeneous firms that is consistent with a number of stylized features of the data. In particular, the model predicts positive as well as zero...
International R&D Spillovers and Institutions
David T. Coe, Elhanan Helpman, Alexander W. Hoffmaister
The empirical analysis in "International R&D Spillovers" (Coe and Helpman, 1995) is first revisited by applying modern panel cointegration estimation techniques to an expanded data set that we have...
Oligopoly in Segmented Markets
Shmuel Ben-Zvi, Elhanan Helpman
We propose a new solution concept for a game among oligopolists that simultaneously compete in several segmented markets. The motivation for this solution comes from international trade, but it also...
The Simple Analytics of Debt-Equity Swaps
Recent attempts to resolve the international debt crisis have lead some countries to engage in debt-equity swaps. The paper explores conditions under which such transactions are beneficial to the...
Stabilization with Exchange Rate Management under Uncertainty
Stabilization programs in open economies typically consist of two stages. In the first stage the rate of currency devaluation is reduced, but the fiscal adjustment does not eliminate the fiscal...
Product Development and International Trade
Gene M. Grossman, Elhanan Helpman
We develop a multi-country, dynamic general equilibrium model of product innovation and international trade to study the creation of comparative advantage through research and development and the...
Hysteresis in the Trade Pattern
Gene M. Grossman, Elhanan Helpman
We study a world economy comprising two countries that may differ only in their prior experience in the research lab. Entrepreneurs in each country develop new technologies for varieties of a...
Trade, Knowledge Spillovers, and Growth
Gene M. Grossman, Elhanan Helpman
In this paper, we examine one channel through which the trade regime might affect growth in the long run. We model endogenous technological progress that results from profit maximizing investments by...
Gene M. Grossman, Elhanan Helpman
We develop a model in which special interest groups make political contributions in order to influence an incumbent government's choice of trade policy. In the political equilibrium. the interest...
Gene M. Grossman, Elhanan Helpman
Whether governments clash in trade disputes or negotiate over trade agreements, their actions in the international arena reflect political conditions back home. Previous studies of cooperative and...
Endogenous Macroeconomic Growth Theory
The paper focuses on the innovation-based approach to endogenous growth. It begins by spelling out conditions for sustained long-run growth in neoclassical economies and uses these conditions as a...
Endogenous Innovation in the Theory of Growth
Gene M. Grossman, Elhanan Helpman
This paper makes the case that purposive, profit-seeking investments in knowledge play a critical role in the long-run growth process. First, we review the implications of neoclassical growth theory...
The Politics of Free Trade Agreements
Gene M. Grossman, Elhanan Helpman
Suppose that an opportunity arises for two countries to negotiate a free trade agreement (FTA). Will an FTA between these countries be politically viable? And if so, what form will it take? We...
A Time to Sow and a Time to Reap: Growth Based on General Purpose Technologies
Elhanan Helpman, Manuel Trajtenberg
We develop a model of growth driven by successive improvements in 'General Purpose Technologies' (GPT's), such as the steam engine, electricity, or micro-electronics. Each new generation of GPT's...
Foreign Investment with Endogenous Protection
Gene Grossman, Elhanan Helpman
Jagdish Bhagwati coined the phrase quid pro quo foreign investment to describe international investments made in anticipation of host country trade policy and perhaps with the intention of defusing a...
Electoral Competition and Special Interest Politics
Gene Grossman, Elhanan Helpman
We study the competition between two political parties for seats in a parliament. The parliament will set two types of policies: ideological and non-ideological. The parties have fixed positions on...
Gene M. Grossman, Elhanan Helpman
We survey research on the relationship between technology and trade. We begin with the old literature, which treated the state of technology as exogenous and asked how changes in technology affect...
David T. Coe, Elhanan Helpman, Alexander Hoffmaister
We examine the extent to which developing countries that do little, if any research and development themselves benefit from R&D that is performed in the industrial countries. By trading with an...
First I describe a number of political economy approaches that have been developed to explain trade policies. All approaches are presented in a unified framework that helps to see the key differences...
Investment in research and development (R&D) affects a country's total factor productivity. Recently new theories of economic growth have emphasized this link and have also identified a number of...
R&D Spillovers and Global Growth
Tamim Bayoumi, David T. Coe, Elhanan Helpman
We examine the growth promoting roles of R&D, international R&D spillovers, and trade in a world econometric model. A country can raise its total factor productivity by investing in R&D. But...
Diffusion of General Purpose Technologies
Elhanan Helpman, Manuel Trajtenberg
History and theory alike suggest that General Purpose Technologies (GPT's), such as the steam engine or electricity, may play a key role in economic growth. In a previous paper (Helpman and...
R&D and Productivity: The International Connection
Countries differ greatly in R&D spending, and these differences are particularly striking when comparing developed with developing countries. The paper examines the extent to which the benefits of...
Adjusting to a New Technology: Experience and Training
Elhanan Helpman, Antonio Rangel
In this paper we study how aggregate output responds to the arrival of a new General Purpose Technology (GPT) by looking at adjustment mechanisms that operate through labor markets. We show that...
Lobbying and Legislative Bargaining
Elhanan Helpman, Torsten Persson
We examine the effects of the interaction between lobbying and legislative bargaining on policy formation. Two systems are considered: a US-style congressional system and a European-style...
The Structure of Foreign Trade
During the last two decades, new research has greatly advanced our understanding of the structure of world trade. This article reviews the empirical literature that grew out of this effort,...
Incomplete Contracts and Industrial Organization
Gene M. Grossman, Elhanan Helpman
We develop an equilibrium model of industrial structure in which the organization of firms is endogenous. Differentiated consumer products can be produced either by vertically integrated firms or by...
Outsourcing in a Global Economy
Gene M. Grossman, Elhanan Helpman
We study the determinants of the location of sub-contracted activity in a general equilibrium model of outsourcing and trade. We model outsourcing as an activity that requires search for a partner...
Outsourcing versus FDI in Industry Equilibrium
Gene M. Grossman, Elhanan Helpman
We study the determinants of the extent of outsourcing and of direct foreign investment in an industry in which producers need specialized components. Potential suppliers must make a...
Managerial Incentives and the International Organization of Production
Elhanan Helpman, Gene M. Grossman
We develop a model in which the heterogeneous firms in an industry choose their modes of organization and the location of their subsidiaries or suppliers. We assume that the principals of a firm are...
Elhanan Helpman, Marc J. Melitz, Stephen R. Yeaple
This paper builds a multi-country, multi-sector general equilibrium model that explains the decision of heterogeneous firms to serve foreign markets either through exports or local subsidiary sales...
Party Discipline and Pork Barrel Politics
Gene M. Grossman, Elhanan Helpman
Polities differ in the extent to which political parties can pre-commit to carry out promised policy actions if they take power. Commitment problems may arise due to a divergence between the ex ante...
Separation of Powers and the Budget Process
Gene M. Grossman, Elhanan Helpman
We study budget formation in a model featuring separation of powers. In our model, the legislature designs a budget bill that can include a cap on total spending and earmarked allocations to...
Labor Market Rigidities, Trade and Unemployment
Elhanan Helpman, Oleg Itskhoki
We study a two-country two-sector model of international trade in which one sector produces homogeneous products while the other produces differentiated products. The differentiated-product industry...
Common Agency and Coordination: General Theory and Application to Government Policy Making.
Dixit, Avinash, Grossman, Gene M, Helpman, Elhanan
The authors develop a model of common agency with complete information and general preferences with nontransferable utility, and they prove that the principals' Nash equilibrium in truthful...
Product Development and International Trade.
Grossman, Gene M, Helpman, Elhanan
The authors develop a multicountry, dynamic general equilibrium model of product innovation and international trade to study the creation of comparative advantage through R$50D and the evolution of...
Adjusting to a New Technology: Experience and Training
Elhanan Helpman, Antonio Rangel
December 1998 How does the economy react to the arrival of a new major technology? The existing literature on General Purpose Technologies (GPTs) has studied the role that mechanisms like secondary...
Inequality and Unemployment in a Global Economy
Elhanan Helpman, Oleg Itskhoki, Stephen Redding
This paper develops a new framework for examining the distributional consequences of trade liberalization that is consistent with increasing inequality in every country, growth in residual wage...
Innovation and Growth in the Global Economy
Gene M. Grossman, Elhanan Helpman
Traditional growth theory emphasizes the incentives for capital accumulation rather than technological progress. Innovation is treated as an exogenous process or a by-product of investment in...
Gene M. Grossman, Elhanan Helpman
This landmark theoretical book is about the mechanisms by which special interest groups affect policy in modern democracies. Defining a special interest group as any organization that takes action on...
Market Structure and Foreign Trade presents a coherent theory of trade in the presence of market structures other than perfect competition. The theory it develops explains trade patterns, especially...
Economic Effects of the Government Budget
Elhanan Helpman, Assaf Razin, Efraim Sadka
The effects of a government's budget on society and the political economy are of considerable concern to economists as well as to consumers and taxpayers. The original contributions in this book...
International Trade and Trade Policy
Centering on questions of the potential optimality of some trade protection, these original contributions present research at the frontier of international trade and trade policy. They expand and...
Inequality and Unemployment in a Global Economy
Helpman, Elhanan, Itskhoki, Oleg, Redding, Stephen J
This paper develops a new framework for examining the distributional consequences of international trade that incorporates firm and worker heterogeneity, search and matching frictions in the labor...
Inequality and Unemployment in a Global Economy
Elhanan Helpman, Oleg Itskhoki, Stephen Redding
This paper develops a new framework for examining the distributional consequences of internationaltrade that incorporates firm and worker heterogeneity, search and matching frictions in the...
Economic Policy in the International Economy
This book contains fifteen major essays on international economics. The authors investigate five principal themes: theory, and empirics, of financial issues in open economies; economic growth; public...
Theory, Policy and Dynamics in International Trade
Ethier,Wilfred J., Helpman,Elhanan, Neary,J. Peter
This book presents a representative collection of papers on international trade, one of the most dynamic sub-fields in economics. The contributions range over all the major areas of research,...
Theory, Policy and Dynamics in International Trade
Ethier,Wilfred J., Helpman,Elhanan, Neary,J. Peter
This book presents a representative collection of papers on international trade, one of the most dynamic sub-fields in economics. The contributions range over all the major areas of research,...
Income Distribution, Product Quality, and International Trade
Pablo D. Fajgelbaum, Gene M. Grossman, Elhanan Helpman
We develop a framework for studying trade in horizontally and vertically differentiated products. In our model, consumers have heterogeneous incomes and heterogeneous tastes. They purchase a...
Labor Market Rigidities, Trade, and Unemployment
Helpman, Elhanan, Itskhoki, Oleg
We study a two-country two-sector model of international trade in which one sector produces homogeneous products while the other produces differentiated products. The differentiated-product industry...
Lobbying and Legislative Bargaining
Elhanan Helpman, Torsten Persson
We examine the effects of the interaction between lobbying and legislative bargaining on policy formation. Two systems are considered: a US-style congressional system and a European-style...