HARRY P. BOWEN Professor and W.R. Holland Chair of International Business and Finance at McColl School of Business, Queens University of Charlotte, USA. A former Fulbright Scholar and an Olin Fellow at the National Bureau of Economic Research, he has written extensively on international trade and business in many journals, including American Economic Review, Journal of International Business Studies, Global Strategy Journal, Review of Economics and Statistics, Strategic Management Journal, and Quarterly Journal of Economics. ABRAHAM HOLLANDER Professor of Economics at the University of Montreal, Canada. His work has been widely published in leading academic journals including European Economic Review, International Journal of Industrial Organization, The American Journal of Agricultural Economics, and Journal of International Economics. JEAN-MARIE VIAENE Professor of Economics at the Erasmus School of Economics of Erasmus University Rotterdam, the Netherlands. He is also Research Fellow at CESifo (Munich) and at the Tinbergen Institute. His research in the area of international economics has been published in many leading academic journals including International Economic Review, Journal of International Economics, European Economic Review, Journal of Economic Dynamics and Control, and the Journal of International Money and Finance.