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CEP discussion paper
Wholesalers and Retailers in U.S. Trade (Long Version)
Andrew B. Bernard, J. Bradford Jensen, Stephen Redding and Peter K. Schott February 2010
Paper No' CEPDP0968:
Full Paper (pdf)

JEL Classification: F10; F14

Tags: wholesaler; retailer; intermediary; international trade

International trade models typically assume that producers in one country trade directly with final consumers in another. In reality, of course, trade can involve long chains of potentially independent actors who move goods through wholesale and retail distribution networks. These networks likely affect the magnitude and nature of trade frictions and hence both the pattern of trade and its welfare gains. To promote further understanding of the means by which goods move across borders, this paper examines the extent to which U.S. exports and imports flow through wholesalers and retailers versus .producing and consuming firms.