FIW Workshops

VIES: Christoph Boehm “Dynamic Models, New Gains from Trade?”

Tue, 18. November 2025 17:45h
Oskar-Morgenstern-Platz 1, 1090 Vienna, - University of Vienna, Faculty of Business, Economics and Statistics, lecture hall 17, 2nd floor
Präsenz-Event (Deutsch)

The FIW Research Centre International Economics and its partners kindly invite you to participate in the upcoming Vienna International Economics Seminar (VIES) on the topic:

“Dynamic Models, New Gains from Trade?”

Abstract:

Yes. We state closed-form expressions for steady state gains from trade that apply in a class of dynamic trade models that includes dynamic versions of the Krugman (1980), Melitz (2003), and customer capital (e.g., Arkolakis, 2010) models. The gains are a function of the domestic trade share and the long-run elasticity of trade with respect to iceberg trade costs, similar to Arkolakis, Costinot, and Rodríguez-Clare (2012). In a dynamic setting, this long-run elasticity cannot be estimated in one step by relying on tariff variation as shifters of trade costs. Instead, it can be recovered by combining two tariff elasticity estimates: the long- and the short-run. Thus, the short-run tariff elasticity indirectly enters the formula for the steady state gains from trade. Our main substantive finding is that the gains from trade are large. They depend crucially on the short-run tariff elasticity, and can be arbitrarily large even if the long-run tariff elasticity is high. Accounting for the transition path has a modest impact on the magnitude of the gains from trade, relative to simply comparing steady states.

Speaker:
Christoph E. Boehm is an Assistant Professor of Economics at the University of Texas at Austin. His research focuses on business cycles, stabilization policy, and the international transmission of shocks. Prior to coming to Austin he earned a PhD. in Economics from the University of Michigan, was a Post-Doc at Princeton University and was a Fulbright Scholar at Tufts University where he earned an MA in Economics. He also holds a Diploma in Business Management and Engineering from Dresden University of Technology. His research has been published in journals such as the Journal of Monetary Economics, and the Review of Economics and Statistics.

Date and Time: Tuesday, November 18, 17.45-19.00 p.m.
Location: University of Vienna, Faculty of Business, Economics and Statistics, Oskar-Morgenstern-Platz 1, 1090 Vienna, lecture hall 17, 2nd floor
Language: English

Registration:
Participants are requested to register in advance with Julia Hnidek (julia.hnidek@univie.ac.at).

The Vienna International Economics Seminar (VIES) is a joint initiative of CEU, FIW Research Centre International Economics, Universität Wien, WIFO, wiiw, and WU Vienna. It provides a forum for the presentation and discussion of cutting-edge academic research in the field of international economics.

The seminar is held at irregular intervals on Tuesdays from 17:45 to 19:15, alternating each semester between participating institutions. From October 2025 to January 2026, the seminar will be hosted by the University of Vienna.

Organizers:
Gábor Békés (CEU), Alejandro Cuñat (Vienna U.), Harald Fadinger (Vienna U.), Gabriel Felbermayr (WIFO, WU), Miklós Koren (CEU), Harald Oberhofer (WIFO, WU), Robert Stehrer (WIIW).

The seminar is currently coordinated by Harald Fadinger.

For more information and the detailed seminar schedule, please visit: https://sites.google.com/view/viennainternationaleconomicsse/