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Product-based cultural change: Is the village global?

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Author Info

  • Maystre, Nicolas
  • Olivier, Jacques
  • Thoenig, Mathias
  • Verdier, Thierry

Abstract

We provide a model of product-based cultural change where trade integration leads to cultural convergence. A standard trade model of Dixit–Stiglitz monopolistic competition is coupled with a micro-founded model of cultural dynamics. We show that access to varieties that are attached to a global cultural type changes the incentives of parents to socialize their children and transmit their type. The resulting increase in agents of the global cultural type leads to a magnification of the initial shock. A striking feature of the model is that even temporary shocks to openness may have permanent effects through the changing distribution of preferences in the economy.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of International Economics.

Volume (Year): 92 (2014)
Issue (Month): 2 ()
Pages: 212-230

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Handle: RePEc:eee:inecon:v:92:y:2014:i:2:p:212-230

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Web page: http://www.elsevier.com/locate/inca/505552

Related research

Keywords: Culture; Trade; Persistence; Homogenization;

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References

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Citations

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Cited by:
  1. Alessandra Cassar & Giovanna d'Adda & Pauline Grosjean, 2013. "Institutional Quality, Culture, and Norms of Cooperation: Evidence from a Behavioral Field Experiment," Discussion Papers 2013-10, School of Economics, The University of New South Wales.
  2. Anne-Célia Disdier & Silvio H. T. Tai & Lionel Fontagné & Thierry Mayer, 2010. "Bilateral trade of cultural goods," Sciences Po publications info:hdl:2441/c8dmi8nm4pd, Sciences Po.
  3. Beatrix Brügger & Rafael Lalive & Josef Zweimüller, 2009. "Does Culture Affect Unemployment? Evidence from the Röstigraben," CESifo Working Paper Series 2714, CESifo Group Munich.
  4. repec:aia:ginidp:dp17 is not listed on IDEAS
  5. Maria MASOOD, 2014. "New Evidence on Development and Cultural Trade: Diversification, Reconcentration and Domination," Working Papers P85, FERDI.
  6. Head, Keith & Mayer, Thierry, 2013. "What separates us? Sources of resistance to globalization," CEPR Discussion Papers 9614, C.E.P.R. Discussion Papers.
  7. Giacomo Corneo, 2011. "GINI DP 17: Income Inequality, Value Systems and Macroeconomic Performance," GINI Discussion Papers 17, AIAS, Amsterdam Institute for Advanced Labour Studies.
  8. Maystre, Nicolas & Olivier, Jacques & Thoenig, Mathias & Verdier, Thierry, 2014. "Product-based cultural change: Is the village global?," Journal of International Economics, Elsevier, vol. 92(2), pages 212-230.
  9. Nathan Nunn & Daniel Trefler, 2013. "Domestic Institutions as a Source of Comparative Advantage," NBER Working Papers 18851, National Bureau of Economic Research, Inc.
  10. Corneo, Giacomo & Neher, Frank, 2012. "Income Inequality and Self-Reported Values," Discussion Paper Series of SFB/TR 15 Governance and the Efficiency of Economic Systems 382, Free University of Berlin, Humboldt University of Berlin, University of Bonn, University of Mannheim, University of Munich.
  11. repec:hal:cepnwp:hal-00778502 is not listed on IDEAS

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