This study empirically investigates the structure of immigrant based networks, both internationally and intranationally within the United States and how they affect U.S. export volume. Specifically, we examine the relationship between state populations of immigrant groups and the volume of state exports to the home country of the immigrant group. We compare the estimated effects of local immigrant populations on state exports to the effects of out-of-state populations of the same immigrant group and find the former effect to be greater than the latter. In addition, we find that the network effects are greatest for newer immigrant groups. © 2005 President and Fellows of Harvard College and the Massachusetts Institute of Technology.

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This study introduces a cost-based informational asymmetry into a two-period signaling model. We examine the effects of import tarifpolicy within this environment of incomplete information and compare them to the standard, full information effects. When tariff rates can be credibly fixed, the standard effects of tarflpolicy may be signi3cantly altered. For example, lower tariffs may discourage foreign entry because of the induced signaling effects of tarifSpolicy. Moreover; because the impact of tariff policy depends on the cost structure of domestic firms, uninformed policymakers will not be able to predict the qualitative effects of tariff policy. (JEL F12, F13)

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