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Domestic Institutions as a Source of Comparative Advantage

In: Handbook of International Economics

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  • Nunn, Nathan
  • Trefler, Daniel

Abstract

Domestic institutions can have profound effects on international trade. This chapter reviews the theoretical and empirical underpinnings of this insight. Particular attention is paid to contracting institutions and to comparative advantage, where the bulk of the research has been concentrated. We also consider the reverse causation running from comparative advantage to domestic institutions.

Suggested Citation

  • Nunn, Nathan & Trefler, Daniel, 2014. "Domestic Institutions as a Source of Comparative Advantage," Handbook of International Economics, in: Gopinath, G. & Helpman, . & Rogoff, K. (ed.), Handbook of International Economics, edition 1, volume 4, chapter 0, pages 263-315, Elsevier.
  • Handle: RePEc:eee:intchp:4-263
    DOI: 10.1016/B978-0-444-54314-1.00005-7
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    More about this item

    Keywords

    International trade; Institutions; Contracts; Property rights;
    All these keywords.

    JEL classification:

    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • F10 - International Economics - - Trade - - - General
    • F19 - International Economics - - Trade - - - Other

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