The paper says:

Smaller $\theta$ implies more heterogeneity, and thus larger comparative advantage, and hence stronger force for trade relative to resistance $d_{ni}$.

Would it be correct to therefore infer that geographical barriers are less important when $\theta$ is smaller? Or is this "technically incorrect"?

  • $\begingroup$ A link to the paper would be nice. $\endgroup$ – Herr K. Feb 12 '18 at 17:20

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